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please help w homework Suppose that the MU corporation has a $1000 par value bond with three years remaining and a 4% annual coupon rate.
please help w homework
Suppose that the MU corporation has a $1000 par value bond with three years remaining and a 4% annual coupon rate. If bonds with similar risk are priced to yield a 6% rate of return, what is the intrinsic value of this MU bond? $850 $947 $1,056 $1,318 None of the above. According to the intrinsic value of the bond from Q1, is the bond selling at a premium, at a discount, or at par? Premium . Discount At par Suppose that the MU corporation has a $1000 par value bond with three years remaining and a 4% annual coupon rate. If bonds with similar risk are priced to yield a 6% rate of return, what is the intrinsic value of this MU bond? $850 $947 $1,056 $1,318 None of the above. According to the intrinsic value of the bond from Q1, is the bond selling at a premium, at a discount, or at par? Premium . Discount At par Step by Step Solution
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