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jok3333 [9.3K]
3 years ago
6

Please help i have a 15 percent in math please ill give brainliest

Mathematics
1 answer:
dusya [7]3 years ago
7 0
32.92 next is 27 last is 230
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A 30-year, $1,000 strip bond was traded for $167, four years after it was issued. What was the semi-annually compounded nominal
Anna007 [38]

Answer:

The semi-annually compounded nominal rate at that time is 7%

Step-by-step explanation:

In order to calculate the semi-annually compounded nominal rate at that time we would have use the following formula:

PV= FV/(1+r)^n

According to the given data we have the following:

PV=$167

FV=$1,000

n=30-year, and strip bond was traded four years after it was issued, hence, n=(30-4)*2 =52

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Therefore, The semi-annually compounded nominal rate at that time=3.50%*2

The semi-annually compounded nominal rate at that time=7%

The semi-annually compounded nominal rate at that time is 7%

4 0
3 years ago
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