Calculate the value of the following bond: Principal: 10 000 $ Maturity: 3 years Annual interest rate: 4% Investors required rate of return: 2% Where the bond pays the principal at maturity, however, it pays interest twice a year. Please provide your answer rounded. If you get 507.823 write 508.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Chapter1: Investments: Background And Issues
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Calculate the value of the following bond:

Principal: 10 000 $

Maturity: 3 years

Annual interest rate: 4%

Investors required rate of return: 2%

Where the bond pays the principal at maturity, however, it pays interest twice a year. Please provide your answer rounded. If you get 507.823 write 508.

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