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What is the value of the bond for musk ind

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Reference no: EM132763296

Musk Ind. issued a zero coupon bond with a face value of $1000 and maturity of 1 year. The market interest rate was 12%.

Problem a. The market interest rate increased to 14%. What is the value of the bond?

Problem b. The market interest rate decreased to 10%. What is the value of the bond?

Reference no: EM132763296

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