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1)Enterprise, Inc. bonds have an annual coupon rate of 12 percent. The interest is paid semiannually and the bonds mature in 9 years. Their par
1)Enterprise, Inc. bonds have an annual coupon rate of 12 percent. The interest is paid semiannually and the bonds mature in 9 years. Their par value is $1,000. If the market's required yield to maturity on a comparable-risk bond is 16 percent, what is the value of the bond? What is its value if the interest is paid annually?
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Part 1
a. The value of the Enterprise bonds if the interest is paid semiannually is ______
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