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J& J just issued a bond with a $1,000 face value and a coupon rate of 7%. If the bond has a life of 30 years, pays annual coupons and the yield to maturity (YTM) is 6.8%, what will be the bond sell for?

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The bond price is calculated.

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Market value of a bond = PV of future payments (coupons and principal)
discounted at ...

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