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Question 4 (a) Ben bought a bond for RM5,000 two years ago. It has 20 years maturity and carry 10% coupon interest rate. Now

Question 4 (a) Ben bought a bond for RM5,000 two years ago. It has 20 years maturity and carry 10% coupon interest rate. Now he wishes to sell his bond to finance his holiday tour. Consider the current interest rate is 12% per annum. Required: Compute the value of the bond now. (5 marks)

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