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Question
Consider a three-year coupon bond that has a present value of $2,000. If the annual rate of discount is 7 percent, and the payment made at the end of each year is $140, the principal amount to be repaid at the end of three years isa. $1,860.00.
b. $2,000.00.
c. $2,140.00.
d. $2,156.40.
Answer
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