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5. We have the following information for a bond: Bond price: $1052. Term to maturity: 8 years. Payments are made semi-annually. Interest rate: 4%. This

5. We have the following information for a bond: Bond price: $1052. Term to maturity: 8 years. Payments are made semi-annually. Interest rate: 4%. This is a partially amortized bond and at maturity, and a balloon payment of $300 will be paid. 1) Calculate the semi-annual regular payment for the bond. 2) At the end of the first year, what is the balance of the principal?

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