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You are engaged by a CPA firm to help audit the financial statements of one of 1ts clients, GTE corporation. GrE is the holder of

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You are engaged by a CPA firm to help audit the financial statements of one of 1ts clients, GTE corporation. GrE is the holder of a bond issued by ATGT, which will mature in 12 years, with a par value of $1,000, and annual coupon rate of 88. If the market prevailing interest rate is 74 on the bonds in the same category, the CPA firm asks you to help estimate the value or price of the bond

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