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04-01-2024
Business

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A 10-year German government bond (bund) has a face value of €100 and a coupon rate of 5% paid annually. Assume that the interest rate (in euros) is equal to 6% per year. What is the bond’s present value (PV)?
a) €100
b) €50
c) €150
d) €124.21

Respuesta :

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