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Jim Busby calls his broker to inquire about purchasing a bond of Disk Storage Systems. His broker quotes a price of $ 1 , 1
Jim Busby calls his broker to inquire about purchasing a bond of Disk Storage Systems. His broker quotes a price of $ Jim is concerned that the bond might be overpriced based on the facts involved. The $ par value bond pays percent interest, and it has years remaining until maturity. The current yield to maturity on similar bonds is percent. Calculate the new price of the bond. Use Appendix B and Appendix D for an approximate answer but calculate your final answer using the formula and financial calculator methods. Note: Do not round intermediate calculations. Round your final answer to decimal places. Assume interest payments are annual.
Jim Busby calls his broker to inquire about purchasing a bond of Disk Storage Systems. His broker quotes a price of $ Jim is concerned that the bond might be overpriced based on the facts involved. The $ par value bond pays percent interest, and it has years remaining until maturity. The current yield to maturity on similar bonds is percent.
Calculate the new price of the bond. Use Appendix B and Appendix D for an approximate answer but calculate your final answer using the formula and financial calculator methods.
Note: Do not round intermediate calculations. Round your final answer to decimal places. Assume interest payments are annual.
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