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Assume that the issue will have a coupon rate of 5% with a 15 year maturity. Assume the bonds are annual coupon bonds and each
Assume that the issue will have a coupon rate of 5% with a 15 year maturity. Assume the bonds are annual coupon bonds and each have a face value of $1,000 and the required rate of return for similar bonds in the market is 4.5%. What would be the issuing price of these bonds? How many bonds will you have to issue?
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