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Bond valuation - Quarterly interest Calculate the value of a $5,000-par-value bond paying quarterly interest at an annual coupon interest rate of 9% and having 11 years until maturity if the required return on similar-risk bonds is currently a 14% annual rate. The present value of the bond is (Round to the nearest cent.)

Bond valuation - Quarterly interest Calculate the value of a $5,000-par-value bond paying quarterly interest at an annual coupon interest rate of 9% and having 11 years until maturity if the required return on similar-risk bonds is currently a 14% annual rate. The present value of the bond is (Round to the nearest cent.)

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Bond valuation - Quarterly interest Calculate the value of a $5,000-par-value bond paying quarterly interest at an annual coupon interest rate of 9% and having 11 years until maturity if the required return on similar-risk bonds is currently a 14% annual rate. The present value of the bond is $ (Round to the nearest cent.)
Transcribed Image Text:Bond valuation - Quarterly interest Calculate the value of a $5,000-par-value bond paying quarterly interest at an annual coupon interest rate of 9% and having 11 years until maturity if the required return on similar-risk bonds is currently a 14% annual rate. The present value of the bond is $ (Round to the nearest cent.)
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