If the investor desired to earn at least 8 per year, Financial Management

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If the investor desired to earn at least 8 per year

An investor is considering buying a 10-year corporate bond that is being advertised in the newspaper.

The bond has a face value of $1000 and pays 6% per year compounded semiannually. The owner of the bond has received eight payments.

If the investor desired to earn at least 8% per year compounded semiannually, what is the maximum amount that the investor will be willing to pay?

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Financial Management: If the investor desired to earn at least 8 per year

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Financial Management: If the investor desired to earn at least 8 per year

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