Multiple Choice
Suppose you are deciding whether to buy a particular bond. If you buy the bond and hold it for 4 years, then at that time you will receive a payment of $10,000. If the interest rate is 6 percent, you will buy the bond if its price today is no greater than
A) $8,225.06.
B) $7,920.94.
C) $7,672.58.
D) $6,998.98.
Correct Answer:
Verified
Correct Answer:
Verified
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