Then how much should you be willing to pay for the bond

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Reference no: EM13302396

You are considering a 25-year, $1,000 par value bond. Its coupon rate is 10%, and interest is paid semiannually. If you require an "effective" annual interest rate (not a nominal rate) of 8.59%, then how much should you be willing to pay for the bond? Round your answer to two decimal places.

Reference no: EM13302396

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