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Please help me with Algebraically not Excel thank you! 1. Anya purchases a twelve-year $8,000 7% par-value bond with annual coupons for $7,860. She deposits
Please help me with Algebraically not Excel thank you!
1. Anya purchases a twelve-year $8,000 7% par-value bond with annual coupons for $7,860. She deposits each coupon payment in a savings account earning an annual effective interest rate of k%. When the bond matures, Anya also liquidates the savings account. What is the smallest value of k that will make Anya's overall annual effective yield rate at least 6.4%? (Find k as a percentage and round to 3 decimal places.) 1. Anya purchases a twelve-year $8,000 7% par-value bond with annual coupons for $7,860. She deposits each coupon payment in a savings account earning an annual effective interest rate of k%. When the bond matures, Anya also liquidates the savings account. What is the smallest value of k that will make Anya's overall annual effective yield rate at least 6.4%? (Find k as a percentage and round to 3 decimal places.)Step by Step Solution
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