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A bond you are evaluating has a 10% coupon rate (compounded semiannually), a $1,000 face value, and is 12 years from maturity. If the required

A bond you are evaluating has a 10% coupon rate (compounded semiannually), a $1,000 face value, and is 12 years from maturity.

If the required rate of return on the bond is 10%, what is its fair present value? Show your workings. [4 marks]

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