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At what price will the bonds sell in the marketplace

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Reference no: EM132962125

Question - Bond price - The International Publishing Group Pty Ltd is raising $10 million by issuing 15-year bonds with a coupon rate of 7.57 per cent and a face value of $1000. Coupon payments will be annual. Investors buying the bond currently will earn a yield to maturity of 10.00 per cent. At what price will the bonds sell in the marketplace? Explain.

Reference no: EM132962125

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