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3 . One year ago, XYZ Co . issued 6 - year bonds at par. The bonds have a coupon rate of 5 . 4
One year ago, XYZ Co issued year bonds at par. The bonds have a coupon rate of percent, paid semiannually, and a face value of $ Today, the market yield on these bonds is percent. What is the percentage change in the bond price over the past year?
Suppose ABC Co issues $ million of year zero coupon bonds today. If investors require a return of percent compounded semiannually and all the bonds remain outstanding until they mature, how much in $ millions will ABC have to pay to redeem the bonds.
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