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Kennedy Gas works has bonds that mature in 10 years, and have a face value of $1000. The bonds have a 10% quarterly coupon. The
Kennedy Gas works has bonds that mature in 10 years, and have a face value of $1000. The bonds have a 10% quarterly coupon. The bonds may be called in five years. The bonds have a nominal yield to maturity of 8% and a yield to call of 7.5%. What is the bond's call price?
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