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You purchased a $1,000 face value Saskatchewan Hydro Energy bond maturing in seven years. The coupon rate was 4.5% payable semiannually. If the prevailing market
You purchased a $1,000 face value Saskatchewan Hydro Energy bond maturing in seven years. The coupon rate was 4.5% payable semiannually. If the prevailing market rate at the time of purchase was 5.6% compounded semiannually, what price did you pay for the bond?
Select one:
a. $973.02
b. $987.02
c. $1,002.02
d. $937.02
e. $859.02
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