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Fasm bank has designed a security that will pay a dividend

Finance

FASM Bank has designed a security that will pay a dividend of $10.00 in perpetuity. The dividend will be paid semi-annually and the initial dividend will be paid one half year from today. What is the price of the security if the stated annual interest rate is 5.5 percent, compounded semi-annually?

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Finance Basics: Fasm bank has designed a security that will pay a dividend

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