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Miller Corporation has a premium bond making semiannual payments. The bond pays a coupon of 12 percent, has a YTM of 10 percent, and has
Miller Corporation has a premium bond making semiannual payments. The bond pays a coupon of 12 percent, has a YTM of 10 percent, and has 16 years to maturity. The Modigliani Company has a discount bond making semiannual payments. This bond pays a coupon of 10 percent, has a YTM of 12 percent, and also has 16 years to maturity What is the price of each bond today? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Price of Miller Corporation bond Price of Modigliani Company bond If interest rates remain unchanged, what do you expect the prices of these bonds to be 1 year from now? In 6 years? In 11 years? In 15 years? In 16 years? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Price of bond Miller Corporation Bond Modigliani Company Bond 1 year 6 years 11 years 15 years 16 years
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