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b. A bond is issued at a price of $500and pays a interest of $25 per year for the next 25 years. If the
b. A bond is issued at a price of $500and pays a interest of $25 per year for the next 25 years. If the interest rate in the market is 5.5% and the bond is redeemed for a price of $475 then what is the price of the bond today?
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International Financial Reporting and Analysis
Authors: David Alexander, Anne Britton, Ann Jorissen
5th edition
978-1408032282, 1408032287, 978-1408075012
