pippalotta
30.10.2019 •
Business
Jallouk corporation has two different bonds currently outstanding. bond m has a face value of $80,000 and matures in 20 years. the bond makes no payments for the first six years, then pays $2,900 every six months over the subsequent eight years, and finally pays $3,200 every six months over the last six years. bond n also has a face value of $80,000 and a maturity of 20 years; it makes no coupon payments over the life of the bond. the required return on both these bonds is 12 percent compounded semiannually. what is the current price of bond m and bond n?
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