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Question 5 (5 points) A bond is issued at a price of $1000 and pays a interest of $40 per year for the next 10

Question 5 (5 points) A bond is issued at a price of $1000 and pays a interest of $40 per year for the next 10 years. If the interest rate in the market is 5.5% and the bond is redeemed for a price of $1000 then what is the price of the bond today $885 O $1115 $1085 $985
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A bond is issued at a price of $1000 and pays a interest of $40 per year for the next 10 years. If the interest rate in the market is 5.5% and the bond is redeemed for a price of $1000 then what is the price of the bond today $885 $1115 $1085 $985

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