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Exactly three years ago, Alvin purchased a 5-year, $4000 semi-annual bond with a 6,5% coupon. Today, he would like to sell the bond. However, new

Exactly three years ago, Alvin purchased a 5-year, $4000 semi-annual bond with a 6,5% coupon. Today, he would like to sell the bond. However, new 2-year bonds with a comparable level of risk now offer a coupon rate of 9.5%. What is the market value of Marcus bond?

 

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