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Jeremy is interested in purchasing a bond which matures in 20 years. It has a face value of $8 000 and a coupon rate of

Jeremy is interested in purchasing a bond which matures in 20 years. It has a face value of $8 000 and a coupon rate of 10%. Like most bonds it pays the bearer an interest payment every 6 months. How much is it worth todayif MARR is 8%?

$7999

$400

$6833

$9585

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