A discount bond has a face value of 10000 and promises, Finance Basics

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A discount bond has a face value of 10000 and promises

Problem:

A discount bond has a face value of $10,000 and promises repayment at the end of 15 years and has a market price of $3541. What is its effective yield?

Summary of problem:

The question belongs to Finance and it discusses about calculation of effective yield of a discount bond with a face value of $10000.

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Finance Basics: A discount bond has a face value of 10000 and promises

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Finance Basics: A discount bond has a face value of 10000 and promises

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