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Problem 13-10 Determining Interest and the Effect of Changing Interest Rates on a Bond Investment [LO13-2] Assume that three years ago, you purchased a $1,000

Problem 13-10 Determining Interest and the Effect of Changing Interest Rates on a Bond Investment [LO13-2]\ Assume that three years ago, you purchased a $1,000 corporate bond that pays 3.85 percent. Also assume that three years after your bond investment, comparable bonds are paying 4.50 percent.\ \ What is the annual dollar amount of interest that you receive from your bond investment?\ \ Assuming that comparable bonds are now paying 4.50 percent, will your bond increase or decrease in value?\ \ Why did the bond increase or decrease in value?\

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