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Problem 7-3 Call Premium (LG7-1) A 7.9 percent corporate coupon bond is callable in five years for a call premium of one year of coupon

Problem 7-3 Call Premium (LG7-1) A 7.9 percent corporate coupon bond is callable in five years for a call premium of one year of coupon payments. Assuming a par value of $1,000, what is the price paid to the bondholder if the issuer calls the bond

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