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M Corporation's bonds have a 15-year maturity and a 7.25% semiannual coupon. The market interest rate is 6.20%. a. What is the bonds price? b.

M Corporation's bonds have a 15-year maturity and a 7.25% semiannual coupon. The market interest rate is 6.20%.

a. What is the bonds price?

b. Is it sold at par, premium or discount? How do you know?

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