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    Zoro Sword Company

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    Zoro Sword Company bonds pay an annual coupon of 9 1/2%. They have 8 years to maturity and face value or par of $1000. Compute the present value of Zoro bonds if investors' required rate of return is 10%.

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    Solution Preview

    Using financial calculator:

    Coupon rate = 9.5%, N = 8, FV = ...

    Solution Summary

    This solution shows a calculation of the following using financial calculator:

    Zoro Sword Company bonds pay an annual coupon of 9 1/2%. They have 8 years to maturity and face value or par of $1000. Compute the present value of Zoro bonds if investors' required rate of return is 10%.

    $2.19

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