Question: A 20 -year bond has face value 1000 and is redeemable at par. It pays semi-annual coupons at a 5% annual rate. The bond is

A 20 -year bond has face value 1000 and is redeemable

A 20 -year bond has face value 1000 and is redeemable at par. It pays semi-annual coupons at a 5% annual rate. The bond is purchased at a discount so that its yield to maturity is 7% convertible semiannually. Calculate the accumulation of discount in the coupon that is paid on the bond's 10 th anniversary. Enter your answer as a positive number

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