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If a Bond is paying 5% interest is sold for 100 what will be price of bond...
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<blockquote data-quote="NonameNoname" data-source="post: 2500534" data-attributes="member: 855540"><p>...when interest rate falls to 4%? If duration or maturity is one year and paying interest monthly.</p><p>Explain and show the calculation.</p></blockquote><p></p>
[QUOTE="NonameNoname, post: 2500534, member: 855540"] ...when interest rate falls to 4%? If duration or maturity is one year and paying interest monthly. Explain and show the calculation. [/QUOTE]
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