The florida investment fund buys 86 bonds of the gator


The Florida Investment Fund buys 86 bonds of the Gator Corporation through a broker. The bonds pay 6 percent annual interest. The yield to maturity (market rate of interest) is 8 percent. The bonds have a 20-year maturity. Using an assumption of semiannual interest payments:

a. Compute the price of a bond. (Do not round intermediate calculations and round your answer to 2 decimal places.) Price of the bond $

b. Compute the total value of the 86 bonds. (Do not round intermediate calculations and round your answer to 2 decimal places.) Total value $

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Financial Management: The florida investment fund buys 86 bonds of the gator
Reference No:- TGS01363201

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