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1. Mike purchased a 15-year par value bond with semiannual coupons of 30 and a redemption value of 1100. The bond can be called at

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1. Mike purchased a 15-year par value bond with semiannual coupons of 30 and a redemption value of 1100. The bond can be called at 1150 on any coupon date prior to maturity starting at the end of year 10. Calculate the maximum price of the bond to guarantee that Mike will earn an annual nominal interest rate of at least 5%

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