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Mark has a Treasury bond that has a par value of $30,000 and a coupon rate of 9%. The bond has 11 years to maturity.

Mark has a Treasury bond that has a par value of

$30,000

and a coupon rate of

9%.

The bond has

11

years to maturity. Mark needs to sell the bond and new bonds are currently carrying coupon rates of

7%.

For what price should Mark sell the bond in this situation?

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