Question
A company previously issued 5% bonds with semi-annual payments (and a face value of $1,000). Since then, interest rates have risen (gone up) substantially. Which
A company previously issued 5% bonds with semi-annual payments (and a face value of $1,000). Since then, interest rates have risen (gone up) substantially. Which of the following is the most likely current price for the bonds?
A. $894.50 B. $1,000.00 C. $1,129.27 D. All of these are equally likely.
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Finance For Non Financial Managers
Authors: Pierre Bergeron
6th Edition
0176501630, 9780176501631
