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purchased a 12-year bond that makes coupon payments semiannually with an annual coupon rate of 7.00%. There are 180 days between the bonds most recent

purchased a 12-year bond that makes coupon payments semiannually with an annual coupon rate of 7.00%. There are 180 days between the bonds most recent coupon payment and the next, and she purchased the bond 20 days after the last payment. The bond has a par value of $1,000, and its yield to maturity is currently 5.5%. Calculate the bonds full price that Ms. Love paid.

Multiple Choice

  • $1,121.30

  • $1,134.40

  • $1,144.12

  • $1,090.21

  • $1,130.51

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