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Your Aunt has recently retired and is looking to you to provide financial advice to her. Being that she is now retired, she is looking

Your Aunt has recently retired and is looking to you to provide financial advice to her. Being that she is now retired, she is looking for some solid income returns for her money given the low interest rate environment were currently experiencing. She is looking into potentially buying a number of noncallable bonds that mature in 15 years. The bonds have a par value of $1,000 and an annual coupon of 5.7%. If the current market interest rate is 1.5% at what price do you think the bonds should sell? Do you like this investment idea for your Aunt Ginny? Explain the reasoning for your answer. Explain all work and assumptions.

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