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please using hand written formula and hand written form You are given the following information with respect to a bond: - Par value: 564,000 -
please using hand written formula and hand written form
You are given the following information with respect to a bond: - Par value: 564,000 - Term to maturity: 3 years - Annual coupon rate: 5.6% payable annually You are also given that the one-, two-, and three-year annual spot interest rates are 3%,5%, and 6% respectively. a) Calculate the value of the bond. b) Explain in words how you would estimate the yield rate Step by Step Solution
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