Question
Assume a $1,000 face value bond has a coupon rate of 6.7 percent paid semiannually and has an eight-year life. If investors are willing to
Assume a $1,000 face value bond has a coupon rate of 6.7 percent paid semiannually and has an eight-year life.
If investors are willing to accept a 10.4 percent rate of return on bonds of similar quality, what is the present value or worth of this bond?
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Fundamental Accounting Principles
Authors: John J Wild, Ken Shaw
25th Edition
1260247988, 978-1260247985
