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32. Two bonds have par values of $1,000. Bond A is a 5% annual-pay, 10-year bond priced to yield 8% as an annual rate; the other (Bond B) is a 7.5% annual-pay, 15-year bond priced to yield 6% as an annual rate. The values of these two bonds would be: Bond A Bond B А. $762.41 $847.08 В. $796.15 $1,147.00 $1,156.00 С. $796.15 (CHOOSE THE CLOSEST ANSWER)

32. Two bonds have par values of $1,000. Bond A is a 5% annual-pay, 10-year bond priced to yield 8% as an annual rate; the other (Bond B) is a 7.5% annual-pay, 15-year bond priced to yield 6% as an annual rate. The values of these two bonds would be: Bond A Bond B А. $762.41 $847.08 В. $796.15 $1,147.00 $1,156.00 С. $796.15 (CHOOSE THE CLOSEST ANSWER)

Financial Accounting Intro Concepts Meth/Uses
Financial Accounting Intro Concepts Meth/Uses
14th Edition
ISBN:9781285595047
Author:Weil
Publisher:Weil
Chapter11: Notes, Bonds, And Leases
Section: Chapter Questions
Problem 5Q
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What is the solution for the attached quesjtom and the method? Thank you very much.

32. Two bonds have par values of $1,000. Bond A is a 5% annual-pay, 10-year bond priced to yield 8% as an annual rate; the other (Bond B) is a 7.5% annual-pay, 15-year bond priced to yield 6% as an annual rate. The values of these two bonds would be: Bond A Bond B $762.41 $847.08 $1,147.00 $1,156.00 А. В. $796.15 $796.15 (CHOOSE THE CLOSEST ANSWER) C.
Transcribed Image Text:32. Two bonds have par values of $1,000. Bond A is a 5% annual-pay, 10-year bond priced to yield 8% as an annual rate; the other (Bond B) is a 7.5% annual-pay, 15-year bond priced to yield 6% as an annual rate. The values of these two bonds would be: Bond A Bond B $762.41 $847.08 $1,147.00 $1,156.00 А. В. $796.15 $796.15 (CHOOSE THE CLOSEST ANSWER) C.
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