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You purchased a Bond with a Face Value of $ 100,000 which matures in 10 Years. It pays semiannual coupons at an annual nominal rate
You purchased a Bond with a Face Value of $ 100,000 which matures in 10 Years. It pays semiannual coupons at an annual nominal rate of 8% and redeems for $ 120,000 at maturity. This bond yields nominal annual rate of 9% convertible semiannually. What is the amount of write-up ofpremium/discount in the 4th coupon payment?
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