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An Indiana state savings bond can be converted to $100 at maturity six years from purchase. If the state bonds are to be competitive with
An Indiana state savings bond can be converted to $100 at maturity six years from purchase. If the state bonds are to be competitive with U.S. savings bonds, which pay 8 percent annual interest (compounded annually), at what price must the state sell its bonds? Ignore taxes and assume no cash payments on savings bonds prior to redemption
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