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Use the information to answer the following questions. Consider a $1,000 par value bond with a 8% annual coupon. There are 9 years remaining until
Use the information to answer the following questions. Consider a $1,000 par value bond with a 8% annual coupon. There are 9 years remaining until maturity. Assume that the required return on the bond is 7% and the market is in equilibrium. What is the price of the bonds? Select one: a. S 827.23 b. S1272.07 C. $ 769.64 d. $1195.46 e. $1065.15 Clear my choice Continued from previous question. Based on the information, you would expect the bond price to in one year. Select one: O a. Decrease by 0.51% b. Decrease by 1.54% c. Decrease by 1.37% d. Increase by 1.46% e. Increase by 0.51%
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