Silvia is thinking about investing money into a bond to diversify her investments. Company X...
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Silvia is thinking about investing money into a bond to diversify her investments. Company X issued 12 bonds at a face value of $22500 and a 16.5% nominal interest rate paid semiannually to raise capital for an upcoming factory expansion. The face value of the bond is $22500. The bond is a 30 year bond. As the bond was issued, the current nominal interest rate in the market is 7.5% compounded monthly. What is the maximum price Silvia should be pay for a single bond from company X? Silvia is thinking about investing money into a bond to diversify her investments. Company X issued 12 bonds at a face value of $22500 and a 16.5% nominal interest rate paid semiannually to raise capital for an upcoming factory expansion. The face value of the bond is $22500. The bond is a 30 year bond. As the bond was issued, the current nominal interest rate in the market is 7.5% compounded monthly. What is the maximum price Silvia should be pay for a single bond from company X
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