Determine value bonds current price

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Reference no: EM131881811

A $1,000 par value bond is currently selling in the marketplace. It had an original maturity of 25 years and was sold 10 years ago.

Its coupon rate is 7% and you are to determine its current price, given bonds of comparable risk have a yield to maturity of 11.8%.

Reference no: EM131881811

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