Question
3. A par-bond of $100 redeemable after 12 years, pays interest at 10% per year convertible semi- annually. Find the price to yield an investor:
3. A par-bond of $100 redeemable after 12 years, pays interest at 10% per year convertible semi- annually. Find the price to yield an investor:
a) 8% per half-year. b) A net yield of 8% compounded semi-annually, allowing for tax on interest at 30 cents in the dollar.
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Accounting Information Systems
Authors: Marshall B. Romney, Paul J. Steinbart
13th edition
978-0133428537
