Assume the coupon rate is 10% issue at par $1000 and for 15 years. Let say the market interest rate increase to 15% during the life of the bond. a) What is the interest payment for this bond annually b) What is the interest payment on semi-annually c) How much should the investors pay for this bondi.e. the value

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Assume the coupon rate is 10% issue at par $1000 and for 15 years. Let say the market interest rate increase to 15% during the life of the bond.

a) What is the interest payment for this bond annually

b) What is the interest payment on semi-annually

c) How much should the investors pay for this bondi.e. the value

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