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( Bond valuation ) Enterprise, Inc. bonds have an annual coupon rate of 1 3 percent. The interest is paid semiannually and the bonds mature
Bond valuation Enterprise, Inc. bonds have an annual coupon rate of percent. The interest is paid semiannually and the bonds mature in years. Their par value is $ If the market's required yield to maturity on a comparablerisk bond is percent, what is the value of the bond? What is its value if the interest is paid annually?
a The value of the Enterprise bonds if the interest is paid semiannually is $Round to the nearest cent.
b The value of the Enterprise bonds if the interest is paid anually is $Round to the nearest cent.
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