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Price of Firm’s Bond Assignment | Homework For You

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May 29th, 2020

A firm has an issue of $1,000 par value bonds with a 10% coupon interest rate. The issue pays interest annually and has 10 years remaining to its maturity date. If bonds of similar risk are currently earning 12% (required return), the firm’s bond will sell for ___ todayHomework For You

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a) $1,000

b) $1,123

c) $1,268

d) $887. Get Finance homework help today

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