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What is the present value of the coupons

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Reference no: EM132928134

Question - You are presented with a corporate bond to invest in. The bond has a face value of $1,000 and a maturity of 6 years. The market interest rate is observed at 6.2%. The coupon rate is 7.3% pa.

The face value is repaid at the end of the bond's life.

What is the present value of the coupons?

Reference no: EM132928134

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