Compounded quarterly-required rate of return

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Reference no: EM13808016

BSW Corporation has a bond issue outstanding with an annual coupon rate of 8 percent paid quarterly and four years remaining until maturity. The par value of the bond is $1,000. Determine the fair present value of the bond if market conditions justify a 12 percent, compounded quarterly, required rate of return.

Reference no: EM13808016

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