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jjones9250
19.02.2021 •
Business
In March 2012, Daniela Motor Financing (DMF), offered some securities for sale to the public. Under the terms of the deal, DMF promised to repay the owner of one of these securities $700 in March 2052, but investors would receive nothing until then. Investors paid DMF $350 for each of these securities; so they gave up $350 in March 2012, for the promise of a $700 payment 40 years later. a. Assuming that you purchased the bond for $350, what rate of return would you earn if you held the bond for 40 years until it matured with a value $700
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