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Calculate the value of a $1,000 bond which has 10 years until maturity and pays quarterly interest at an annual coupon rate of 12 percent.
Calculate the value of a $1,000 bond which has 10 years until maturity and pays quarterly interest at an annual coupon rate of 12 percent. The required return on similar-risk bonds is 20 percent.
Select one:
a. $2,201.08
b. $845.66
c. $656.82
d. $835.45
Please solve using bond calculator. Show which values are for bond price, face value, annual coupon payment, annual yield %, and yield to maturity.
Thank you!
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