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JUST QUESTION 3! - Read handout p.2-3 - Extra Credit homework (Due Tuesday, Feb. 4, at 5:30pm) 1. Find the bond price for a 7-year

JUST QUESTION 3! image text in transcribed
- Read handout p.2-3 - Extra Credit homework (Due Tuesday, Feb. 4, at 5:30pm) 1. Find the bond price for a 7-year 10% coupon bond when the market interest rate is 10% 2 Find the bond price for a 7-year 10% coupon bond when the market interest rate is 6% Compare to our class example on the bond price of the above bond when market interest rate is 8%, what is the relation between the Kd (market interest rate) and bond price

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