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A $ 2 4 , 0 0 0 , 8 % bond redeemable at par with interest payable annually is bought 1 0 years before
A $ bond redeemable at par with interest payable annually is bought years before maturity. Determine the premium or discount and the purchase price of the bond if the bond is
purchased to yield
a compounded annually;
b compounded annually.
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