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    Harrison Ford Auto Company has a $1,000 par value bond outstanding that pays 11 percent interest.

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    Harrison Ford Auto Company has a $1,000 par value bond outstanding that pays 11 percent interest. The current yield to maturity on each bond in the market is 8 percent. Compute the price of these bonds for these maturity dates:

    a. 30 years.
    b. 15 years.
    c. 1 year.

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    https://brainmass.com/business/bond-valuation/harrison-ford-auto-company-has-a-1-000-par-value-bond-outstanding-that-pays-11-percent-interest-160079

    Solution Preview

    See the Excel file for complete answer.

    Bond Pricing
    Given Data
    Face value of the Bond =$1,000
    Coupon Rate =11%
    YTM =8%
    Years to maturity =30 years
    Frequency of interest payment= 1 time per ...

    Solution Summary

    Harrison Ford Auto Company has a $1,000 par value bond outstanding that pays 11 percent interest.

    $2.19

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