Suppose that today’s date is April 15. A bond with a 10% coupon paid semiannually every January 15 and July 15 is listed in The
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During the beginning of the 21st century, the growth in computer sales declined for the first time in almost two decades. As a result, PC makers dramatically reduced their orders of computer chips from Intel and other vendors. In general, the environment in which computer manufacturers operate is very uncertain; how should we expect this feature of the market to affect the length of contracts between computer manufacturers and their hardware manufacturers?
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