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A) You own a bond that pays $100 in annual interest with a $1,000 par value. It matures in 5 years. Your required rate of return is
1) 12 percent
2) 10 percent
3) 8 percent
B) How does A) change if we change our maturity to 10 years and the required return is
C) How does A) change if we change our maturity to 20 years and the required return is
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