A bond that matures in 6 years has a par value of $1,000, an annual coupon payment

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A bond that matures in 6 years has a par value of $1,000, an annual coupon payment of $80, and a market interest rate of 9%. What is its price?

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Intermediate Financial Management

ISBN: 9781337395083

13th Edition

Authors: Eugene F. Brigham, Phillip R. Daves

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Question Posted: Mar 10, 2024 12:00 AM

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A bond that matures in 6 years has a par value of $1,000, an annual coupon payment

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To calculate the price of a bond you can use the formula for the present value of a bond which is th...View the full answer

Intermediate Financial Management

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