A $1,000 par value bond has coupon rate of 7% and the coupon is paid semi- annually. The bond matures in 20 years and has a required rate of return of 10 % Compute the current price of this bond. $ 1,011.00 $ 1,000.00 $ 742.61 $ 1,199.22 $ 1,230.57 None of the answers listed above are within $ 0.25 of the correct answer .

A $1,000 par value bond has coupon rate of 7% and the coupon is paid semi- annually. The bond matures in 20 years and has a required rate of return of 10 % Compute the current price of this bond. $ 1,011.00 $ 1,000.00 $ 742.61 $ 1,199.22 $ 1,230.57 None of the answers listed above are within $ 0.25 of the correct answer .

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter6: Fixed-income Securities: Characteristics And Valuation

Section: Chapter Questions

Problem 8P

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