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Timothy has an opportunity to buy a $5,000 par value municipal bond with a coupon rate of 6% and a maturity of five years. The
Timothy has an opportunity to buy a $5,000 par value municipal bond with a coupon rate of 6% and a maturity of five years. The bond pays interest annually. If Timothy requires a return of 8%, what should he pay for the bond? If Timothy requires a return of 8%, the amount he should pay for the bond is ______
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