A 6.3% annuity bond of $12 000 with interest payable monthly is to be redeemable at par in nine years with a yield 7.9% compounded monthly. What is the gain or loss if the bond is sold eight years after the date of purchase at 101.325?
A) $343.03 Gain
B) $343.03 Loss
C) $184.03 Gain
D) $184.03 Loss
E) $336.94 Gain
Correct Answer:
Verified
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