Emma is consdidering purchasing bonds with a par value of $10,000.The bond gave an annual coupon...
Homework Answers
The current value of the bond i:-
=PV(rate,nper,pmt,fv)
=PV(8%,6,7%*10000,10000)
=9537.71
Thus the bond should not be bought at 9,978, as it's actual value is less than that.
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Emma is consdidering purchasing bonds with a par value of
$10,000.The bond gave an annual coupon...
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