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Colin is considering investing in one or both of the following bonds. If Colin has a required rate of return of 5%, which of these
Colin is considering investing in one or both of the following bonds. If Colin has a required rate of return of 5%, which of these should be consider buying? Bond A: 10-year zero-coupon bond selling for $654. Neither Bond Anor Bond B. Bond B: A 7-year bond with a 4% coupon, paid semi-annually, that is callable in three years at 102 that is priced at $925 Both Bond A and Bond B
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