Calculate the value of the bond

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Reference no: EM132630439

A rupee-denominated 7% bond pays interest annually, and has three years remaining to maturity. It will be redeemed at par.

The interest yield required by the bond investors is 4.5% per annum. An annual interest payment has just been made.

Requirement:

Calculate the value of the bond.

Reference no: EM132630439

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