Question: 5. How much do you have to deposit today so that exactly 10 years from now you can withdraw $10,000 a year for the next

5. How much do you have to deposit today so that exactly 10 years from now you can withdraw $10,000 a year for the next five years? Assume an interest rate of 6%. 1. Compute the price of a 3.8 percent coupon bond with 18 years left to maturity and a market interest rate of 7 percent. Compute the price again if interest payments are paid semi- annually (solve using semi-annual compounding). Par value is $1000

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