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Assume that a bond will make payments every six months as shown on the following timeline: The timeline starts at Period 0 and ends at
Assume that a bond will make payments every six months as shown on the following timeline: The timeline starts at Period 0 and ends at Period 20. It shows cash flows of $10.00 in each period from Period 1 to Period 19. In Period 20, the cash flow is $1,010.00.
Period
0,1,2,19,20
$10,00, $10,00, $10,00 $1,010.00
a. What is the maturity of the bond (in years)?
b. What is the coupon rate (in percent)?
c. What is the face value?
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