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help me Five years ago Constellation, Inci, sold an issue of 20 -year $1000 par bonds to finance a new distribution terminal. The bonds pay
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Five years ago Constellation, Inci, sold an issue of 20 -year $1000 par bonds to finance a new distribution terminal. The bonds pay 3.8% APR, semi-annuatly. Today's required rate of return for similarly rated bonds is 7.8%. How much should these bonds sell for today? (Round off to the nearest $1.1 Question 22 Atech Inc, plans to raise $1 million by issuing 10-year zero coupon bonds with a face value of $1.000. If the yield of a similar bond is 6.7%, how many zero-coupon bonds does Atech needs to issue? (hint: zero-coupon bonds are discounted semi-annually) Step by Step Solution
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