The make-believe bonds of Facebook carry a 12% annual coupon, have a $1,000 face value, and...
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The make-believe bonds of Facebook carry a 12% annual coupon, have a $1,000 face value, and mature in 5 years. Bonds of equivalent risk yield 9%. What is the market value of Facebook bonds? A) $1,011.20 B) $1,087.25 C) $1,095.66 D) $1,116.69 E) $1,160.25 The make-believe bonds of Facebook carry a 12% annual coupon, have a $1,000 face value, and mature in 5 years. Bonds of equivalent risk yield 9%. What is the market value of Facebook bonds? A) $1,011.20 B) $1,087.25 C) $1,095.66 D) $1,116.69 E) $1,160.25
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Financial Markets and Institutions
ISBN: 978-0077861667
6th edition
Authors: Anthony Saunders, Marcia Cornett
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