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A 30-year bond pays interest semiannually, has a par value of $1,000, a coupon rate of 8.2%, and has 29 years until maturity. Bonds of
A 30-year bond pays interest semiannually, has a par value of $1,000, a coupon rate of 8.2%, and has 29 years until maturity. Bonds of competitors with similar risk are discounted at a market rate of 7%. What is the intrinsic price of the bond?
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Personal Finance Turning Money Into Wealth
Authors: Arthur Keown
8th Edition
0134730364, 978-0134730363
