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Refer to Table 10-1, assume interest rates in the market (yield to maturity) are 4 percent for 20 years on a bond paying 10 percent

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Refer to Table 10-1, assume interest rates in the market (yield to maturity) are 4 percent for 20 years on a bond paying 10 percent a. What is the price of the bond? Bond price $ 1.815.42 b. Assume 15 years have passed and interest rates in the market have gone up to 12 percent. Now, using Table 10:2 for 5 years, what is the price of the bond? Bond price c. What would your percentage return be if you bought the bonds when interest rates in the market were 4 percent for 20 years and sold them 15 years later when interest rates were 12 percent? (Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.) Refer to Table 10-1, assume interest rates in the market (yield to maturity) are 4 percent for 20 years on a bond paying 10 percent a. What is the price of the bond? Bond price $ 1.815.42 b. Assume 15 years have passed and interest rates in the market have gone up to 12 percent. Now, using Table 10:2 for 5 years, what is the price of the bond? Bond price c. What would your percentage return be if you bought the bonds when interest rates in the market were 4 percent for 20 years and sold them 15 years later when interest rates were 12 percent? (Do not round intermediate calculations. Input your answer as a percent rounded to 2 decimal places.)

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