What will be an investor taxable income from the bond

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A newly issued 10- year maturity, 5% coupon bond making annual coupon payments is sold to the public at a price of $810. The bond will not be sold at the end of the year. The bond is treated as an original - issue discount bond. a) calculate the constant yield price. b) What will be an investor's taxable income from the bond over the coming year?

Reference no: EM131352285

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