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Markel Fruit Company has an issue of $1,000 par value bonds with a 15 percent coupon interest rate outstanding. The issue pays interest semiannually and

Markel Fruit Company has an issue of $1,000 par value bonds with a 15 percent coupon interest rate outstanding. The issue pays interest semiannually and has 10 years remaining to its maturity date. Bonds of similar risk are currently selling to yield a 12 percent rate of return. What is the value of these Markel Fruit Company bonds? (Show all calculations for full credit.)

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