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Jiefei buys a 14 year callable bond with a coupon rate of 2.250% (nominal, semi-annual). The bond is callable at par on any coupon date
Jiefei buys a 14 year callable bond with a coupon rate of 2.250% (nominal, semi-annual). The bond is callable at par on any coupon date starting at the end of year 10. Jiefei pays $9,296.69 and is guaranteed to earn a yield of at least 1.250% (nominal, semi- annual) on her investment. What is the face value F of the bond? O a. $10,350.00 O b. $9,350.00 O C. $8,500.00 O d. $9,700.00 O e. $7,300.00
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