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1. Abner Corporation's bonds mature in 18 years and pay 8 percent interest annually. If you purchase the bonds for $750, what is your yield
1. Abner Corporation's bonds mature in 18 years and pay 8 percent interest annually. If you purchase the bonds for $750, what is your yield to maturity?
2. Calculate the value of a bond that matures in 18 years and has a $1,000 par value. The annual coupon interest rate is 15 percent and the market's required yield to maturity on acomparable-risk bond is 11 percent.
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