A $25000, 11.5% bond with semi-annual coupons redeemable at par March 1, 2025, was purchased on November
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A $25000, 11.5% bond with semi-annual coupons redeemable at par March 1, 2025, was purchased on November 15, 2018, to yield 9.5% compounded semi-annually. (20 marks) What was the purchase price of the bond? Find the value of discount or premium. Mention whether the value is premium or discount.
Related Book For
Contemporary Business Mathematics with Canadian Applications
ISBN: 978-0134141084
11th edition
Authors: S. A. Hummelbrunner, Kelly Halliday, Ali R. Hassanlou, K. Suzanne Coombs
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