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What is total dollar gain or loss on the transaction

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Problem 1: Last year suppose that you bought a 6% coupon bond paying interest annually, maturing in 9 years at a time when interest rate is 7%. Now one year later, interest rate is 4%, and you are selling this bond. What is your total dollar gain/loss on this transaction? Suppose, face value of this bond is $100.

Reference no: EM132770964

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