Solution-Sell for a premium or a discount

Sell for a premium or a discount

Reference no: EM131041699

You currently own a 30 year Treasury Bond at 4% interest, paid semiannually. The market interest rates for like securities rose to 5%. Would your bond sell for a premium or a discount? Why? What would the market value of your bond be? Prove your answer by showing your work.

Reference no: EM131041699

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Sell for a premium or a discount

Reference no: EM131041699

Reference no: EM131041699

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