What is the current market value of the bond

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Question - An investor purchases a 6-year, $1,000 par value bond that pays semiannual interest of $12. If the semiannual market rate of interest is 8%, what is the current market value of the bond?

a. 488

b. 1,000

c. 514

d. 1,090

Reference no: EM132590896

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