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Dormitory and dining halls system general

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In class, we looked at several bonds for Tech. The "Dormitory and Dining Halls System General" bond has a par value of $1,000, a coupon of 3.250% and a recent price of 108.969 (with a yield of 1.113) see slide 53 of Tuesday's Powerpoint for a refresher.

A. If I was the most recent buyer of that bond (using the recent price noted above), what price did I pay for one $1,000 bond?

B. With that price and a coupon of 3.250% (and maturity many years out, in 2031), how much in payments will I receive from Tech in one year as a bondholder?

Reference no: EM132801777

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Dormitory and dining halls system general : In class, we looked at several bonds for Tech. The "Dormitory and Dining Halls System General" bond has a par value of $1,000, a coupon of 3.250%
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