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A firm issues two-year bonds with a coupon rate of 6%, paid semiannually. The credit spread for this firm's two-year debt is 0.8%. New two-year

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A firm issues two-year bonds with a coupon rate of 6%, paid semiannually. The credit spread for this firm's two-year debt is 0.8%. New two-year Treasury notes are being issued at par with a coupon rate of 3.1%. What should the price of the firm's outstanding two-year bonds be per $100 of face value? A. $124.80 B. $83.20 C. $104.00 D. $145.60

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