In 1994 you purchased a 1000 corporate bond issued by, Finance Basics

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In 1994 you purchased a 1000 corporate bond issued by

Question: In 1994, you purchased a $1,000 corporate bond issued by Boeing. At the time, the interest rate for the bond was 6 percent. Today, comparable bonds are paying 4.30 percent.

a. What is the approximate dollar price for which you could sell your Boeing bond?

b. In your own words, describe why your bond increased in value.

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Finance Basics: In 1994 you purchased a 1000 corporate bond issued by

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