lamnguyen12901 lamnguyen12901
  • 15-05-2024
  • Business
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You purchased a newly issued 7% 40-year $1,000 bond 8 years ago at par. The bond pays interest each six months. You incur financial difficulties and are forced to sell the bond. You have just received the 16th semiannual interest payment. The prevailing rate on similar bonds is 8.75%. What is your $1,000 bond worth today?

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