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A corporation issues a two-year bond with a coupon of $50 and a face value of $1,000. A year later, market interest rates have declined

A corporation issues a two-year bond with a coupon of $50 and a face value of $1,000. A year later, market interest rates have declined to 3%. What is the price of the bond a year after it was issued?

Select one:

$1,000.00

$1,038.27

$1,025.00

$1,019.42

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