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Company Chianti just issued $18 billion worth of bonds. These are 8-year bonds carrying a coupon rate of interest of 4.5%. Interest is payable every
Company Chianti just issued $18 billion worth of bonds. These are 8-year bonds carrying a coupon rate of interest of 4.5%. Interest is payable every 6 months. a) What is the amount of interest to be paid (in dollars) on one of these bonds every 6 months? b) The current price of these bonds is $1,025.00. What yield-to-maturity is the market requiring on these bonds?
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