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Relationship between Bond Price and Time (If Interest Rates are Constant)
The bond price changes as the bond moves closer to its maturity. If the bond is quoted at a premium, the price of the bond decreases as it approaches maturity. And if it is quoted at discount, the price of the bond increases as it approaches maturity date. In both the cases, the bonds will reach par value at the time-of-maturity.
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how do you find total cash outflow through maturity
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