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Assume that three years ago, you purchased a 1 0 - year corporate bond that pays 9 . 5 percent. The purchase price was $
Assume that three years ago, you purchased a year corporate bond that pays percent. The purchase price was $ Also, assume that today comparable bonds are paying percent. a What is the annual dollar amount of interest that you receive from your bond investment? Omit the $ sign in your response. Amount of interest $ b Assuming that comparable bonds are paying percent, what is the approximate market price for which you could sell your bond? Round your answer to decimal places. Omit the $ sign in your response. Market price $ c Did the bond increase or decrease in value? Decreased in value.
Assume that three years ago, you purchased a year corporate bond that pays percent. The purchase price was $ Also, assume that today comparable bonds are paying percent.
a What is the annual dollar amount of interest that you receive from your bond investment? Omit the $ sign in your response.
Amount of interest
$
b Assuming that comparable bonds are paying percent, what is the approximate market price for which you could sell your bond? Round your answer to decimal places. Omit the $ sign in your response.
Market price $
c Did the bond increase or decrease in value?
Decreased in value.
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