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Market price per bond

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The goodie barn has a 7% coupon bond outstanding that matures in 13.5 years. The bond pays interest semiannually. What is the market price per bond if the face value is $1000 and the yield to maturity is 14.78%?

a) $255.27
b) $550.40
c) $674.66
d) $954.92
e) $967.38.

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Solution Summary

The solution discusses the determination of the market price per bond for a given set of constraints.

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