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(Bond valuation) Doisneau 21-year bonds have an annual coupon interest of 11 percent, make interest payments on a semiannual basis, and have a $1,000 par
(Bond valuation) Doisneau
21-year
bonds have an annual coupon interest of
11
percent, make interest payments on a semiannual basis, and have a
$1,000
par value. If the bonds are trading with a market's required yield to maturity of
15
percent, are these premium or discount bonds? Explain your answer. What is the price of the bonds?
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