A General Power bond carries a coupon rate of 9.8%, has 9 years until maturity, and...
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A General Power bond carries a coupon rate of 9.8%, has 9 years until maturity, and sells at a yield to maturity of 8.8%. (Assume annual interest payments.) a. What interest payments do bondholders receive each year? b. At what price does the bond sell? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. c. What will happen to the bond price if the yield to maturity falls to 7.8%? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. a. Interest payments b. Price c. Price will by A General Power bond carries a coupon rate of 9.8%, has 9 years until maturity, and sells at a yield to maturity of 8.8%. (Assume annual interest payments.) a. What interest payments do bondholders receive each year? b. At what price does the bond sell? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. c. What will happen to the bond price if the yield to maturity falls to 7.8%? Note: Do not round intermediate calculations. Round your answer to 2 decimal places. a. Interest payments b. Price c. Price will by
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