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Someone just issued 3-year bonds that make annual coupon payments of $60. Suppose you purchased one of these bonds at par value ($1,000) when it
Someone just issued 3-year bonds that make annual coupon payments of $60. Suppose you purchased one of these bonds at par value ($1,000) when it was issued. Right after your purchase, market interest rates jumped, and the (interest rate) on your bond rose to 7 percent. What is the new price of you bond?
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