What is the expected price it will sell the bonds

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Reference no: EM131057081

Spartan Insurance Company plans to purchase bonds today that have four years remaining to maturity, a par value of $60 million, and a coupon rate of 10 percent. Spartan expects that in three years, the required rate of return on these bonds by investors in the market will be 9 percent. It plans to sell the bonds at that time. What is the expected price it will sell the bonds for in three years?

Reference no: EM131057081

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