Question: Suppose a bond with $2,000 face value, 4% coupon will mature 10years from today. The coupon will be paid quarterly. How much are you willing
Suppose a bond with $2,000 face value, 4% coupon will mature 10years from today. The coupon will be paid quarterly. How much are you willing to pay for this bond, assuming that the market interest rate for similar bond is 5%.
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