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  3. you own a bond that pays $120 in annual interest,

You own a bond that pays $120 in annual interest, with a $1,000 par value....

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Finance

You own a bond that pays $120 in annual interest, with a $1,000 par value. It matures in 20 years. Your required rate of return is 10 percent.

D. Assume the bond matures in 5 years instead of 20 years.

What is the value of the bond if your required rate of return is 10 percent?

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