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Problem 2 A bond has maturity in 18 years. Estimate the price of this bond, considering tat the annual percentage rate paid to bondholders is

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Problem 2 A bond has maturity in 18 years. Estimate the price of this bond, considering tat the annual percentage rate paid to bondholders is 12%, paid semiannually, and it has a face value equal to $1,000. Draw the cash flows diagram and perform the calculations manually, demonstrating all the solution rationale

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