What 1000 bond with a 4.5 coupon that matures in 30 years. What are Ivan's total earnings for this bond when it reaches its maturity date?

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1042559

2026-03-28 21:50

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Ivan's total earnings from the $1,000 bond with a 4.5% coupon that matures in 30 years would include both the interest payments and the principal amount. The annual interest payment is $45 (4.5% of $1,000), which he will receive each year for 30 years, totaling $1,350 in interest. At maturity, he will also receive the principal amount of $1,000. Therefore, Ivan's total earnings at maturity will be $1,350 (interest) + $1,000 (principal) = $2,350.

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