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Essex Biochemical Company has a $1,000 par value bond outstanding that pays 15 percent annual interest. The current yield to naturity on such bonds in
Essex Biochemical Company has a $1,000 par value bond outstanding that pays 15 percent annual interest. The current yield to naturity on such bonds in the market is 17 percent. Use A ppendix B and AppendixD for an approximate answer but calculate your inal answer using the formula and financial calculator methods. Compute the price of the bonds for the maturity dates: Jote: Do not round intermediate calculations. Round your final answer to 2 decimal places. Assume interest payments are annual
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