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In the following problem, suppose that the price on the day of the sale is considered the market price, not the net price. 3) Find
In the following problem, suppose that the price on the day of the sale is considered the market price, not the net price.
3) Find the annual rate of return, compounded per semester, on an unsecured bond with a face value of $120, redeemable at par in 4 years, assuming it is offered at 95 in the stock market and pays interest of 10.5% per year on semi-annual coupons.
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