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Question 19 1 pts Assume you buy a bond with the following features Bond maturity = 4 Coupon Rate = 6.00% Face Value = $1,000
Question 19 1 pts Assume you buy a bond with the following features Bond maturity = 4 Coupon Rate = 6.00% Face Value = $1,000 Annual Coupons When you buy the bond the market interest rate = 6.00% Immediately after you buy the bond the interest rate changes to 7.00% What is the "reinvestment" effect in year 4 ? $3.92 -$4.04 -$3.92 $4.04
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