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5. Annual Bond Valuation Callan Corporation issued 20-year, noncallable, 7.5% annual coupon bonds at their par value of $1,000 one year ago. Today, the market
5. Annual Bond Valuation
Callan Corporation issued 20-year, noncallable, 7.5% annual coupon bonds at their par value of $1,000 one year ago. Today, the market interest rate on these bonds is 5.5%. What is the current price of the bonds, given that they now have 19 years to maturity?
$1,113.48
$1,142.03
$1,171.32
$1,201.35
$1,232.15
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