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Consider a bond paying a coupon rate of 10% per year, compounded annually, when the market interest rate (return on investments of like risk) is
Consider a bond paying a coupon rate of 10% per year, compounded annually, when the market interest rate (return on investments of like risk) is 20% per year. The bond has THREE years until maturity from today. What is the bonds price one year from today after the next coupon is paid? Give the answer in dollars and cents.
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