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Xiaoke, Corp. issued a bond, which will mature in 8 years with a coupon rate of 16 percent, paying interest semiannually. The bond's par value
Xiaoke, Corp. issued a bond, which will mature in 8 years with a coupon rate of 16 percent, paying interest semiannually. The bond's par value is $1,000. And, according to this company's risk, investors require a rate of return of 14 percent. Answer the following questions. a. If the interest is paid semiannually, the value of the bond is $ (Round to the nearest cent.) b. If the interest is paid annually, the value of the bond is $ (Round to the nearest cent.)
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