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Grossnickle Corporation issued 20-year, noncallable, 7.8% annual coupon bonds at their par value of $4,000 one year ago. Today, the market interest rate on these
Grossnickle Corporation issued 20-year, noncallable, 7.8% annual coupon bonds at their par value of $4,000 one year ago. Today, the market interest rate on these bonds is 5.4%. What is the current price of the bonds, given that they now have 19 years to maturity? a. $1,339.96 b. $1,330.10 c. 51.289.20 d. $1,297.16 e. $1,280.82
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