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Calculate the price of the bond

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Reference no: EM133062229

There is a bonus with the following characteristics: nominal value 98650000, annual coupon rate 4.5% term 5 years, tir 6.5%

A) Calculate the price of the bond assuming it is zero coupon

B) Calculate the price of the bond if it pays 50% of the face value in perpetuity

Reference no: EM133062229

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