If the market rate of interest were to be 36 what would the
A bond matures in exactly 17 years. It has a par value of $1,000, a coupon rate of 4.2%, and makes two interest payments per year. If the market rate of interest were to be 3.6%, what would the value of the bond be?
a) 1,076
b) 1,606
c) 1,000
d) 928
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