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Calculate the Market Value of the Bond Based on the Above

Question 37

Multiple Choice

Calculate the market value of the bond based on the above zero coupon yields.You have a 2-year 8% coupon bond with a face value of $100 000 and you are at time zero. Interest is paid annually at the end of the year. ? Calculate the market value of the bond based on the above zero coupon yields.You have a 2-year 8% coupon bond with a face value of $100 000 and you are at time zero. Interest is paid annually at the end of the year. ?   A)  $111 005 B)  $105 615 C)  $110 513 D)  $97 959


A) $111 005
B) $105 615
C) $110 513
D) $97 959

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