Question: Example 1 7 . 2 A $ 1 , 0 0 0 bond paying 6 percent semiannually ( $ 3 0 semiannually ) has five

Example 17.2
A $1,000 bond paying 6 percent semiannually ( $30 semiannually) has five years to go until maturity. The current market for these bonds is 8 percent. That is, investors are willing to buy the bond if they can receive a nominal interest rate of 8 percent on their investment. How much will the bond be worth?
Example 17.2 A $1,000 bond paying 6 percent semiannually ( $30

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