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What price of six percent bonds paying interest semiannually

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Reference no: EM132985693

Problem 1: If the market rate of interest is 7%, the price of 6% bonds paying interest semiannually with a face value of $500,000 will be

a. greater than $500,000

b. equal to $500,000

c. greater than or less than $500,000, depending on the maturity date of the bonds

d. less than $500,000

Reference no: EM132985693

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