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7. Shala decided to invest in a 2-year government bond. She pays $15,000 (face value) for her bond with a coupon rate of 7%. After

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7. Shala decided to invest in a 2-year government bond. She pays $15,000 (face value) for her bond with a coupon rate of 7%. After one year, when she has received the first coupon payment, she decided to sell the bond. When she sold the bond the interest rate for government-issued bonds was 8%. Based on this, Shala's price for the bond when she sold was; A. $1,000. B. $700. C. greater than $15,000. D. less than $15,000

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