Bond par value 1000 semi-annual coupon payments 40 matures


Bond par value $1,000. Semi-annual coupon payments $40. Matures in 10 years. Current bond price $960. What is the payback period? What is the IRR? What is the NPV, (discount rate of 4%)? For this bond investment, compare the yield-to-maturity to the IRR.

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Financial Management: Bond par value 1000 semi-annual coupon payments 40 matures
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