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Assume that you are considering the purchase of a 2 5 - year, noncallable bond with an annual coupon rate of 9 . 3 %

Assume that you are considering the purchase of a 25-year, noncallable bond with an annual coupon rate of 9.3%. The bond has a face value of $1,000, and it makes semiannual interest payments. If you require a 9.8% nominal yield to maturity on this investment, what is the maximum price you should be willing to pay for the bond?
a. $964.41
b. $949.46
c. $995.89
d. $525.25
e. $953.65

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