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A bond mutual fund is to sell $15 million of Treasury bonds that mature on 31 December 2026. The bonds pay a fixed half-yearly coupon

A bond mutual fund is to sell $15 million of Treasury bonds that mature on 31 December 2026. The bonds pay a fixed half-yearly coupon of 4.00 per cent per annum. Settlement date for the sale is 16 August 2022. Current yields on Treasury bond are 4.50 per cent per annum. Calculate the price at which the bonds will be sold.

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