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Company B has issued a bond having a face value of $1000 carrying an annual coupon rate of 10% and maturing in 5 years. The

Company B has issued a bond having a face value of $1000 carrying an annual coupon rate of 10% and maturing in 5 years. The market interest rate is 5%. What is the Market price of this bond?

BV = C[1 1/(1 + r)^t] / r + FV / (1+r)^t

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