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What Is the Price of a $100 000 Bond with 24

Question 35

Multiple Choice

What is the price of a $100 000 bond with 24 months to maturity and 12% p.a.coupon? Assume that the four consecutive semi-annual yields are 4% p.a. ,5% p.a. ,7% p.a.and 8% p.a.respectively.


A) $105344.12 \$ 105 \quad 344.12
B) $109380.90 \$ 109 \quad 380.90
C) $110487.02 \$ 110 \quad 487.02
D) $111356.77 \$ 111 \quad 356.77

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