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A 30-year bond with par value $4000 and annual coupons of 7.4%is purchased with a discount of $224. The bond yields an annualeffective rate of

A 30-year bond with par value $4000 and annual coupons of 7.4%is purchased with a discount of $224. The bond yields an annualeffective rate of 7.5% if it is held to maturity. Find the price ofthe b 2 answers

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