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The Coleman-Smith Corporation has an outstanding bond that matures in exactly 10 years. The bonds have an annual coupon of 5%. The current market interest
The Coleman-Smith Corporation has an outstanding bond that matures in exactly 10 years. The bonds have an annual coupon of 5%. The current market interest rate is 8%.
Assume the bonds have a face value of 1,000. What should be the bond's price?
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