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Assume that a bond makes equal annual payments of $1,000 over ten years beginning next year.The bond will make an additional payment of $100,000 at
Assume that a bond makes equal annual payments of $1,000 over ten years beginning next year.The bond will make an additional payment of $100,000 at the end if the last year(This security is sometimes referred to as a coupon bond.)If the discount rate is 3.5% per annum, what is the current price of the bond?
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