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A 7 percent, 20-year, $1,000 par value floating rate bond is purchased in 2000. By the year 2010, rates on bonds of similar risk are
A 7 percent, 20-year, $1,000 par value floating rate bond is purchased in 2000. By the year 2010, rates on bonds of similar risk are up to 9 percent. What is the bond worth in 2010? a) between $720 and $820 b) between $820 and $920 c) more than $920
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