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34) Consider a bond paying a coupon rate of 12% per year, compounded annually, when the market interest rate (return on investments of like risk)

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34) Consider a bond paying a coupon rate of 12% per year, compounded annually, when the market interest rate (return on investments of like risk) is 7% per year. The bond has THREE years until maturity from today. (In other words, the bond matures 3 years from today.) What is the bond's price one year from today after the next coupon is paid? Give the answer in dollars and cents. Consider a bond paying a coupon rate of 5% per year, compounded annually. Assume that the market interest rate (YTM or return on investments of like risk) is 10% per year. In other words, you want a 10% return on the bond. The bond has three years until maturity. The par value is $1,000. Assume that you buy the bond today for $876. 31) What is the interest payment that you will receive each year (yr 1, yx 2, and yr 3)? The interest payment will be the same each year, s you only have to write it once. Please put your answer on the blank line on the answer sheet. Please record your answer in dollars and cents

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