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Valuation of bonds

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Reference no: EM132585024

1. Explain what a call provision enables bond issuers to do. Why would bond issuers exercise a call provision?

2. Define a discount bond and a premium bond. Provide examples of each.

3. Describe the relationship between interest rates and bond prices.

4. Describe the differences between a coupon bond and a zero coupon bond.

Reference no: EM132585024

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