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    Bond Price

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    The Morrissey company's bonds mature in 7 years, have a par value of $1000, and make an annual coupon payment of $70. The market interest rate for the bond is 8.5%. what is the bond's price?

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    Solution Preview

    The bond's price is the present value of interest and principal. The annual interest is $70 and the principal ...

    Solution Summary

    The solution explains how to calculate the price of a bond

    $2.19

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