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Your financial advisor is offering you an opportunity to invest in Corporate Bonds. Since you are very interested in diversifying your portfolio with some fixed
Your financial advisor is offering you an opportunity to invest in Corporate Bonds. Since you are very interested in diversifying your portfolio with some fixed income investment, you are seriously considering this offer. The bond matures in 11 years, yields 9.25% and makes coupon payments of 10%. If the par value equals $1,000, what is the most you should be willing to pay for each bond? Round your answer to the nearest penny.
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