What is value of these hewitt packing company bonds

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Reference no: EM131880463

Hewitt Packing Company has an issue of $1,000 par value bonds with a 14% annual coupon rate. The issue pays interest semi-annually and has 10 years remaining to its maturity date.

Bonds of similar risk are currently selling at a yield to maturity of 12% percent. What is the value of these Hewitt Packing Company bonds? If the yield increases to 15 percent, what would the new bond price be?

Reference no: EM131880463

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