Business, 14.05.2021 16:10 24lbriscoe

General Electric has two bonds outstanding. Both issues have the same credit rating, a face value of $1,000 and a coupon rate of 6%. Coupons are paid twice a year. Bond A matures in 1 year, while bond B matures in 25 years. The market interest rate for similar bonds is 12%.

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General Electric has two bonds outstanding. Both issues have the same credit rating, a face value of...

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