Treasury bond maturing

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On 15 September 2020 you plan to buy a 6% p.a. Treasury bond maturing on 15 September 2026.

How much would you pay to earn a net return of 7% p.a. on your transaction, allowing for tax on interest only of 30%? In this instance, assume tax on interest is paid immediately.

Present your answers to the above questions in a Excel spreadsheet

Reference no: EM132502623

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