Question
A $1,000 bond, redeemable at par, with annual coupons at 10% is purchased for $1,060. If the write-down in the book value is $7 in
A $1,000 bond, redeemable at par, with annual coupons at 10% is purchased for $1,060. If the write-down in the book value is $7 in the first year, what is the write-down in the 4th year? (answer is $9.01, please show work)
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Public Finance A Contemporary Application of Theory to Policy
Authors: David N Hyman
11th edition
9781305474253, 1285173953, 1305474252, 978-1285173955
