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You are given the following information about two bonds, Bond A and Bond B: Each bond is a 10-year bond with semiannual coupons redeemable at

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You are given the following information about two bonds, Bond A and Bond B: Each bond is a 10-year bond with semiannual coupons redeemable at its par value of 1,000, and is bought to yield an annual nominal interest rate of i, convertible semiannually. Bond A has an annual coupon rate of (i+0.08), paid semiannually. Bond B has an annual coupon rate of (i-0.08), paid semiannually. The price of Bond A is 597.55 greater than the price of Bond B. Calculate i. b. 12% c. 16% d. 20% a. 8% e. 24%

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