130 Activity.24 Bond

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Class Exercise

Bond
Exercise

As Individuals work the following (5-minutes):


 Given a $5,000 bond paying 5% annually,
compounded quarterly, over 5 years. How much
should you pay for it, with an interest rate of
10%?

 As teams, take 3-minutes to:


 Discuss your solutions amongst yourselves.
 Lets take several minutes to discuss any issues.

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