W7 2/12

(Related to Checkpoint 9.3) (Bond valuation)Calculate the value of a bond that matures in

1818

years and has a

$ 1 comma 000$1,000

par value. The annual coupon interest rate is

1212

percent and the market's required yield to maturity on a comparable-risk bond is

1111

percent.

The value of the bond is

$nothing.

(Round to the nearest cent.)