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A company sold an issue of 11-year $1,000 par bonds to build new ships. The bonds pay 12% interest, semiannually. Today's required rate of return

A company sold an issue of 11-year $1,000 par bonds to build new ships. The bonds pay 12% interest, semiannually. Today's required rate of return is 5%.

How much should these bonds sell for today?

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