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Adam bought a ten-year bond that pays 6% coupon per annum. The current market interest rate is 8%. The par value of the bond is

Adam bought a ten-year bond that pays 6% coupon per annum. The current market interest rate is 8%. The par value of the bond is RM100. Calculate the intrinsic value of the bond. (5 marks)

Please show manual calculation with explanation.

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