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Jake has two options. Please find out which option should he choose based on return from both the option. Option A: Invest in a
Jake has two options. Please find out which option should he choose based on return from both the option. Option A: Invest in a bond paying 6% Coupon Interest Payment, 3 years maturity, $15000 Face Value. It is available in the market for $1500 Discount. Option B: Purchased 500 shares at $30 each. The par value of the share is $10 and received dividend 2 times. 1st year: 20% stock dividend, 2nd year: 10% stock dividend and 20% cash dividend. Sell the shares after 3 years at $24 each.
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