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Assume that a 1 0 - year, $ 1 , 0 0 0 par value bond pays interest of $ 4 2 . 5 0
Assume that a year, $ par value bond
pays interest of $ every six monthis. Also
assume that investors are willing to pay $
for this bond. Given this information, determine
the investors' anniual required rate of return or
yieldtomaturity for this bond.
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