Question
An n-year 1000 par value bond is purchased for 843.20 to yield 7% annually. The bond pays 5% annual coupons and has a redemption value
An n-year 1000 par value bond is purchased for 843.20 to yield 7% annually. The bond pays 5% annual coupons and has a redemption value of C. Find the book value of the bond immediately after the third coupon is paid.
A. 862 B. 872 C. 882 D. 892 E. 902
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
10th Canadian edition
1259261018, 1259261015, 978-1259024979
