The rate specified in the indenture is "Treasury rate plus 0.225 percent" for a bond...
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The rate specified in the indenture is "Treasury rate plus 0.225 percent" for a bond with 5 years left to maturity. If the current 5 -year Treasury has a yield to maturity of 3.2 percent, what discount rate should be used for the remaining payments? 2.975 percent 0.225 percent 3.425 percent 3.2 percent
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