Question
A bond face value of $1000 is selling $660 now, maturing in 5 years. You can also deposit money in the bank to earn
A bond face value of $1000 is selling $660 now, maturing in 5 years. You can also deposit money in the bank to earn a rate of 5% per year. Please use both NPV method and future value method to calculate which one will you choose and why?
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Personal Financial Planning
Authors: Randy Billingsley, Lawrence J. Gitman, Michael D. Joehnk
15th Edition
978-0357438480, 0357438485
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