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c . Consider a bond with a coupon rate of 1 0 % and coupons paid SEMI - ANNUALLY. The par value is $ 1

.

Consider a bond with a coupon rate of

10 %

and coupons paid SEMI

-

ANNUALLY. The par value is $

1000

and the bond has

5

years to maturity. The yield to maturity is

11 % .

What is the value of the bond? Under what conditions similar bonds are sold either at par, premium and discount.

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