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2. A bond has 12 years to maturity, has a coupon rate of 5% and pays semiannual coupons. The YTM on the bond is 5.6%.

2. A bond has 12 years to maturity, has a coupon rate of 5% and pays semiannual coupons. The YTM on the bond is 5.6%. The bonds modified duration is 7.4. Par value is $1,000. Compute the bonds price.

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