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George Robinson just received a cash gift from his grandfather. He plans to invest in a five-year bond issued by Oriole Corp. that pays
George Robinson just received a cash gift from his grandfather. He plans to invest in a five-year bond issued by Oriole Corp. that pays an annual coupon rate of 4.5 percent. If the current market rate is 9.50 percent, what is the maximum amount George should be willing to pay for this bond? Assume face value is $1,000. (Round answer to 2 decimal places, e.g. 15.25.) George should pay $
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
12th edition
978-0324597714, 324597711, 324597703, 978-8131518571, 8131518574, 978-0324597707
