Question: A $ 2 , 0 0 0 , 0 0 0 issue of eight - year bonds redeemable at par offers 7 % coupons payable

A $2,000,000 issue of eight-year bonds redeemable at par offers 7% coupons payable semi-annually. What is the issue price of the bonds to yield 8.6% compounded annually?

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