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Consider a 20-year bond with a face value of $1,000 that has a coupon rate of 5.4%, with semiannual payments. a. What is the coupon

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Consider a 20-year bond with a face value of $1,000 that has a coupon rate of 5.4%, with semiannual payments. a. What is the coupon payment for this bond? b. Draw the cash flows for the bond on a timeline. a. What is the coupon payment for this bond? The coupon payment for this bond is $ (Round to the nearest cent.) b. Draw the cash flows for the bond on a timeline. Select the timeline below that shows the correct cash flows for this bond. (Select the best choice below.) 19 20 2 0 O A. Period $1,000 $27.00 $27.00 Cash Flows $27.00 39 40 0 2 O B. Period 1 $27.00 $27.00 $27.00 Cash Flows $1,027.00 40 1 39 O c. Period 2 $27.00 Cash Flows $27.00 $27.00 $1,000 0 2 19 OD. Period 20 Cash Flows $27.00 $27.00 $27.00 $1,027.00

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