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Question 22 (3 points) Calculate the purchase price of the $1000 face value of the bond. (Assume that bond interest is paid semiannually, that the

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Question 22 (3 points) Calculate the purchase price of the $1000 face value of the bond. (Assume that bond interest is paid semiannually, that the bond was originally issued at its face value, that the bond is redeemed for its face value at maturity and that the market rate of return is compounded semiannually.) Issue Date Maturity Date Purchase Date Coupon Rate Market Rate March 15. March 15, October 5. 5.5% 6.0% 2002 2027 2008 MATCH the inputs on the left with the corresponding value on the right to calculate with the PV of the remaining Interest payments. FV 1 0 MATCH the inputs on the left with the corresponding value on the right to calculate the PV of the remaining interest payments. FV 1. 0 2 37 P/Y 3. 13 PMT 4. 27.50 I/Y 7 V 5 30 N 6.6 C/Y 7. 2

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