Find the actual selling price of bond

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A $1,000 par value bond has a 7.5% semi-annual coupon and matures on July 1, 2017 at $1,050. Find the actual selling price of this bond on October 15, 2014 (price plus accrued interest) as well as the market price of this bond on the same date, based on a nominal annual yield of 5.8% compounded semi-annually.

Reference no: EM132955729

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