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b) Calculate the bond price of the following two bonds. (i) Bond A pays of coupon of 30.00 in perpetuity. The current cost of capital
b) Calculate the bond price of the following two bonds.
(i) Bond A pays of coupon of 30.00 in perpetuity. The current cost of capital is 8%.
(ii) Bond B with a face value of $1,000 is maturing in five years year. The yield to maturity is 8% and the coupon is 6%.
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