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. You are doing analysis for one bond of AOL Time Warner. On Wall Street Journal, the last trading price is quoted as 106.57. 1)

. You are doing analysis for one bond of AOL Time Warner. On Wall Street Journal, the last trading price is quoted as 106.57.

1) What is the exact price of this bond?

2) The maturity date is March 2030. The current yield is 7.5%. What is the coupon rate? (Hint: definition of current yield?)

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