Calculate the price at which you bought the bond

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Five years ago you bought a bond with a ten-year maturity, a face value of $1000, a coupon (paid annually) of 3.8 percent. When you bought the bond, it had a yield to maturity of 3.5 percent. You are considering selling the bond; it is currently yielding -0.5 percent.

i) Calculate the price at which you bought the bond and the price at which you sell it if you sold it now

Reference no: EM132110696

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