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Calculate the value of bond

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Reference no: EM132535510

Each of the following bonds has a $100 par value.

Bond Coupen interest rate Coupen payment Years to maturity Yeild to maturity

x 10 Annual 10 9

y 8 Semi annual 10 9

Calculate the value of each bond

Which bond, X or Y, has the higher interest rate risk and why?

Reference no: EM132535510

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