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What is the most we should pay for a bond with a par value of $ 1 0 0 0 , coupon rate of 1

What is the most we should pay for a bond with a par value of $

1000,

coupon rate of

10.4 %

paid annually, and a remaining life of

26

years? The yield to maturity is

11.1 % .

Assume annual discounting.

(

Round your answer to the nearest penny.

)

Answer:

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