Bond valuation-tax-exempt bond was recently issued at annual

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Bond valuation. A tax-exempt bond was recently issued at an annual 10 percent coupon rate and matures 15 years from today. The par value of the bond is $1,000. a. If required market rates are 10 percent, what is the market price of the bond? b. If required market rates fall to 5 percent, what is the market price of the bond?

Reference no: EM131586647

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