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3-Lynn Parsons is considering investing in either of two outstanding bonds. The bonds both have $1000 par values and 11% coupon interest rates and pay
3-Lynn Parsons is considering investing in either of two outstanding bonds. The bonds both have $1000 par values and 11% coupon interest rates and pay annual interest. Bond A has exactly five years to maturity, while bond B has 15 years remaining until it matures. a) Calculate the value of bond A & B if the required return is (1) 8%, (2) 11%, & (3) 14%
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