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please show all the work thanks a. You have a 6% annual payment perpetual bond. If the market interest rates are 5% and the bond
please show all the work thanks
a. You have a 6% annual payment perpetual bond. If the market interest rates are 5% and the bond has a nominal $1,000 par value, what is the current market value of this bond? Show your work! 4 marks. b. A 15-year zero coupon bond has a face value of $1,000. If the current market interest rates are 7%, what is the price of this bond? Show your work! 4 marksStep by Step Solution
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