Question: Back to Assignment Attempts Keep the Highest / 1 5. Problem 7.16 (Bond Valuation) eBook You are considering a 10-year, $1,000 par value bond.

Back to Assignment Attempts Keep the Highest / 1 5. Problem 7.16

Back to Assignment Attempts Keep the Highest / 1 5. Problem 7.16 (Bond Valuation) eBook You are considering a 10-year, $1,000 par value bond. Its coupon rate is 9%, and interest is paid semiannually. If you require an "effective" annual interest rate (not a nominal rate) of 8.16%, how much should you be willing to pay for the bond? Do not round intermediate calculations. Round your answer to the nearest cent.

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