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How Much Should You Be Prepared to Pay for a 10-Year

Question 54

Multiple Choice

How much should you be prepared to pay for a 10-year bond with a 6% coupon,semiannual payments,and a semiannually compounded yield of 7.5%?

A) $895.78
B) $897.04
C) $938.40
D) $1,312.66

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