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Horizon Analysis Question 26 (3.5 points) Please solve the questions for an investor using the following assumptions. Semiannual Bond: 20 years to maturity. 10% coupon

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Horizon Analysis Question 26 (3.5 points) Please solve the questions for an investor using the following assumptions. Semiannual Bond: 20 years to maturity. 10% coupon bond selling at 109.896. (ytm=8.93%, and Par = $1,000). Suppose that the investor has an Investment Horizon of 3 years and that the Reinvestment rate = 5%. And, the Assumed Horizon ytm = 10%. What is the Future Value of the Coupon Payments? Please bound your final answer to two decimals. Previous Page Page 26 of 32 Next Page

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