Mathematics, 11.03.2021 19:10 natalie2sheffield
Two bonds are available on the market as follows:
Bond 1: Face value $250, 5 years to maturity at a simple interest rate of 5% per year. Bond 2: Face value $350, 3 years to maturity at a simple interest rate of r per year.
Given that both bonds yield the same interest at maturity, calculate r.
Round your answer to the nearest hundredth of a percent.
Do NOT round until you have calculated your final answer.
Answers: 2
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Two bonds are available on the market as follows:
Bond 1: Face value $250, 5 years to maturity at a...
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