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Consider a 10-year bond with a face value of $1,000, a coupon rate of 6 per cent (with semi-annual coupon payments), and a yield-to-maturity of

Consider a 10-year bond with a face value of $1,000, a coupon rate of 6 per cent (with semi-annual coupon payments), and a yield-to-maturity of 7 percent per annum. What is the market price of the bond? (4 marks)

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