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5. A bond has a face amount of $1000 and matures in 10 years. Suppose the bond holder will be paid $42.5 semiannually. Assume the

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5. A bond has a face amount of $1000 and matures in 10 years. Suppose the bond holder will be paid $42.5 semiannually. Assume the interest rate is 8%, is it worth to invest in the bond? Why? (20 points)

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