Compute the price of the bond

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Reference no: EM132419821

The Florida Investment fund buys 52 bonds of the Gator Corporation through a broker. The bonds pay 7 percent annual interest. The yield to maturity (market rate of interest (is 12 percent. The bonds have a 10-year maturity. Using an assumption of semi-annual interest payments:

Compute the price of the bond.

Compute the total value of the 52 bonds.

Reference no: EM132419821

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