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A University of Colorado revenue bond pays an 8% level-coupon, matures in three years, and offers an effective annual yield (i.e., true yield) of 6%.
A University of Colorado revenue bond pays an 8% level-coupon, matures in three years, and offers an effective annual yield (i.e., true yield) of 6%. The bond has a principal value of $1,000 and pays interest semiannually. What is the value of this bond, to the nearest dollar?
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