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Posted on Jul 24, 2024

Consider a bond with at 1 0 percent annual coupon rate, 5 years to maturity. Assume the market interest rate r is 1 2 %

Consider a bond with at

10

percent annual coupon rate,

5

years to maturity. Assume the market interest rate r is

12 %

and par value is

1000 .

What is the current price of the bond?

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