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Assume a 15 -year Treasury bond has a coupon rate of 4.6%. a. Give examples of required rates of return that would make the bond
Assume a 15 -year Treasury bond has a coupon rate of 4.6%. a. Give examples of required rates of return that would make the bond sell at a discount, at a premium, and at par. b. If this bond's par value is $10,000, calculate the differing values for this bond given the required rates you choose in part a a. At what rate would the bond sell at a discount? (Select the best answer below.) A. 3.9% B. 4.6% C. 6.7% At what rate would the bond sell at a premium? (Select the best answer below.) A. 3.9% B. 4.6% C. 6.7% At what rate would the bond sell at par? (Select the best answer below.) A. 3.9% B. 4.6% C. 6.7% b. If this bond's par value is $10,000 and the required rate is 6.7%, the present value of the bond is $ (Round to the nearest cent.)
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