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a ) Duffet Corporation has a $ 1 0 0 0 par value bond with a 6 . 5 % coupon rate. The bond matures

)

Duffet Corporation has a $

1000

par value bond with a

6.5 %

coupon rate.

The bond matures in

20

years. Suppose coupons are paid annually.

The required return is

9 % .

Compute the value of the bond.

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