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Suppose a $1,000 bond pays $30 per year in interest. Instructions: Enter your responses as a whole number. a. What is the contractual interest rate

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Suppose a $1,000 bond pays $30 per year in interest. Instructions: Enter your responses as a whole number. a. What is the contractual interest rate ("coupon rate") on the bond? % b. If market interest rates rise to 4 percent, what price will the bond sell for? es

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