Question
A bond with 6 years to maturity and a coupon rate of 7% has a par, or face, value of $20,000. Interest is paid annually.
A bond with 6 years to maturity and a coupon rate of 7% has a par, or face, value of $20,000. Interest is paid annually. If you require a return of 16% on this bond, what is the price of the bond?
The value of the bond is $___. (Round to the nearest cent.)
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Finance For Non Financial Managers
Authors: Gene Siciliano
1st Edition
0071413774, 978-0071413770
