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A Treasury Bond Matures in 17 Years,pays Interest Semiannually,and Carries

Question 21

Multiple Choice

A Treasury bond matures in 17 years,pays interest semiannually,and carries a coupon rate of 3.5 percent.How much are you willing to pay for a $1,000 face value bond if you desire a rate of return of 4.25 percent?


A) $701.67
B) $909.86
C) $554.64
D) $946.96
E) $1,330.50 A Treasury bond matures in 17 years,pays interest semiannually,and carries a coupon rate of 3.5 percent.How much are you willing to pay for a $1,000 face value bond if you desire a rate of return of 4.25 percent? A) $701.67 B) $909.86 C) $554.64 D) $946.96 E) $1,330.50

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