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Bond prices depend on the market rate of interest, stated rate of interest, and time. Read the requirements. Requirement 1. Compute the price of
Bond prices depend on the market rate of interest, stated rate of interest, and time. Read the requirements. Requirement 1. Compute the price of the following 8% bonds of Friendship Telecom. a. The price of the $200,000 bond issued at 76.75 is b. The price of the $200,000 bond issued at 102.75 is 132537.60 419342.40 c. The price of the $200,000 bond issued at 95.25 is 142862.40 d. The price of the $200,000 bond issued at 102.50 is 422755.20 Requirement 2. Which bond will Friendship Telecom have to pay the most to retire at maturity? Explain your answer. Requirements 1. Compute the price of the following 8% bonds of Friendship Telecom. 2. a. $200,000 issued at 76.75 b. $200,000 issued at 102.75 c. $200,000 issued at 95.25 d. $200,000 issued at 102.50 Which bond will Friendship Telecom have to pay the most to retire at maturity? Explain your answer.
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