Another investor be willing to pay for your security

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Reference no: EM13741821

Suppose that you are considering the purchase of a security that has the following timeline of payments:

Year Interest face value 10,000

1 600

2 600

3 600

4 600

Suppose that one year has elapsed, you have received the first payment of 600$, and the market interest rate is still 5%. How much would another investor be willing to pay for your security?

Reference no: EM13741821

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