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Over the past year (from one year ago to today), the inflation rate was 2.40%, the risk-free rate was 5.30%, and the real rate of
Over the past year (from one year ago to today), the inflation rate was 2.40%, the risk-free rate was 5.30%, and the real rate of return for a bond was 12.45%. The bond is currently priced at $942.00, pays annual coupons of $144.00, and just made a coupon payment. What was the price of the bond one year ago?
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