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How much is the bond worth today

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Question - Supposed a Ph government bond promises to pay P22,497.30 three years from now. If the going interest rate on 3-yr government bonds is 4%. How much is the bond worth today? How would your answer change if the bond matured 5 years rather than 3 years? What of the interest rate on the 5-year bond was 6% and not 4%?

Reference no: EM132958862

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