Question: You are considering purchasing a three-year AAA Corporate Bond with a coupon of 2.4% paid semi-annually. The bonds face value is $1,000. You observe that

You are considering purchasing a three-year AAA Corporate Bond with a coupon of 2.4% paid semi-annually. The bonds face value is $1,000. You observe that the market rate for AAA Corporates is 2.30%.

A) What is the timeline?

B) What are the calculator inputs?

C) What is the maximum you should pay for this bond?

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