How would your answer change if interest were paid annually, Finance Basics

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How would your answer change if interest were paid annually

Problem

Flora co.'s bonds, maturing in 19 years, pay 7 percent interest on a $1000 face value. However, interest is paid semiannually. if your required rate of return is 13 percent, what is the value of the bond? How would your answer change if the interest were paid annually?

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Finance Basics: How would your answer change if interest were paid annually

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Finance Basics: How would your answer change if interest were paid annually

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