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D. J. Masson Inc. recently issued noncallable bonds that mature in 14 years. They have a par value of $1,000 and an annual coupon of

D. J. Masson Inc. recently issued noncallable bonds that mature in 14 years. They have a par value of $1,000 and an annual coupon of 5.0%. If the current market interest rate is 8.0%, at what price should the bonds sell?

A.
865.57

B.
752.67

C.
665.82

D.
1000

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Question

D. J. Masson Inc. recently issued noncallable bonds that mature in 14 years. They have a par value of $1,000 and an annual coupon of

D. J. Masson Inc. recently issued noncallable bonds that mature in 14 years. They have a par value of $1,000 and an annual coupon of 5.0%. If the current market interest rate is 8.0%, at what price should the bonds sell? A. 865.57 B. 752.67 C. 665.82 D. 1000

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Recommended Textbook for

Basic Finance An Introduction To Financial Institutions, Investments And Management

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D. J. Masson Inc. recently issued noncallable bonds that mature in 14 years. They have a par value of $1,000 and an annual coupon of 5.0%. If the current market interest rate is 8.0%, at what price should the bonds sell?

A.
865.57

B.
752.67

C.
665.82

D.
1000