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William purchases a$1000 par value 15-year bond with 7% annual coupons. The redemption value is equal to the par value. William bought the bond at

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William purchases a$1000 par value 15-year bond with 7% annual coupons. The redemption value is equal to the par value. William bought the bond at a premium to yield 3% effective.

Determine the write down or the amount for amortization of the premium in the 7th coupon payment.

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William purchases a $1000 par value 15-year bond with 7% annual coupons. The redemption value is equal to the par value. William bought the bond at a premium to yield 3% effective. Determine the write down or the amount for amortization of the premium in the 7th coupon payment. Possible Answers

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