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w Su History Bookmarks People Tab Window Help 15%D Do Homework - Brittany Taylor mathal.com/StudentPlayer Homework.aspx homeworkid 557284912&questionid=6&flushed=false&cid-58996728 centerwineyes Bus Fin Online, Sp 2020, CRN

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w Su History Bookmarks People Tab Window Help 15%D Do Homework - Brittany Taylor mathal.com/StudentPlayer Homework.aspx homeworkid 557284912&questionid=6&flushed=false&cid-58996728 centerwineyes Bus Fin Online, Sp 2020, CRN 20410 Brittany Taylor & 03/01/209:37 PM Homework: Chapter 7 Homework Save Score: 0 of 1 pt 6 of 14 (5 complete) HW Score: 28.57%, 4 of 14 pts Problem 7-13 (similar to) Question Help (Bond valuation) You are examining three bonds with a par value of $1,000 (you receive $1,000 at maturity) and are concerned with what would happen to their market value if interest rates for the market discount rate) changed. The three bonds are Bond A-a bond with 5 years left to maturity that has an annual coupon interest rate of 9 percent, but the interest is paid semiannually Bond B-a bond with 9 years left to maturity that has an annual coupon interest rate of 9 percent, but the interest is paid semiannually Bond C-a bond with 16 years left to maturity that has an annual coupon interest rate of 9 percent, but the interest is paid semiannually What would be the value of these bonds if the market discount rate were a. 9 percent per year compounded semiannually? b. 5 percent per year compounded semiannually? G. 16 percent per year compounded semiannually? d. What observations can you make about these results? a. If the market discount rate were 9 percent per year compounded semiannually, the value of Bond Ais $ . (Round to the nearest cont.) Enter your answer in the answer box and then click Check Answer 11 Parts 11 remaining Clear All Check Answer

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