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How much should you be willing to pay for the bond

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Reference no: EM132822357

Problem - BOND VALUATION - You are considering a 10-year, $1,000 par value bond. Its coupon rate is 8%, and interest is paid semiannually. If you require an "effective" annual interest rate (not a nominal rate) of 7.1225%, how much should you be willing to pay for the bond?

Reference no: EM132822357

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