Solved: Present value of principal payments at maturity, Finance Basics

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Present value of principal payments at maturity

Question:

I have a $1000 bond which matures in 10 years with current market interest rate of 8%.If I know that the bond pays $30 every six months, then how can I find out what the yield to maturity is, expressed on a semiannual basis. I need the yield to maturity rate in order to calculate the present value of interest payments and the present value of principal payments at maturity.

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Finance Basics: Present value of principal payments at maturity

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