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A bond pays 7.5% coupon rate; the current market interest rates are 7.5%, what do you expect the price of this bond to be? The
A bond pays 7.5% coupon rate; the current market interest rates are 7.5%, what do you expect the price of this bond to be?
The bond price should be zero | ||
The bond price should be equal to par | ||
The bond price should be less than par | ||
This bond should not be priced at all | ||
The bond price should be more than par |
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