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Events Map Apply Search/A-Z 20 Sites 2670 A Hide Time Remaining A Question 18 of 25 5 Points South Carolina Sour Candy Company issued $1.3
Events Map Apply Search/A-Z 20 Sites 2670 A Hide Time Remaining A Question 18 of 25 5 Points South Carolina Sour Candy Company issued $1.3 billion worth of 40-year bonds thirteen years ago. Each bond has a $1,000 par value (it sold initially for $1,000 and will return $1,000 at maturity) and a 6.5% annual coupon interest rate, but with interest paid every six months - so be sure to compute semiannually, and compute with enough decimal places to assure accuracy! If the expected yield to maturity (which we treat as an effective annual rate, or EAR, measure) is 7.3296%, then at what price would we expect each of these semiannual-interest-payment bonds to sell today? O A. $889.30 OB. $917.18 OC. $1,088.54 OD. $903.02 O E. $940.19 Reset Selection O w 8 6/ hp
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