Question: Bond A and Bond B both have a par value of $1000 and have 20 years to maturity. Bond A has a 10% coupon rate

  1. Bond A and Bond B both have a par value of $1000 and have 20 years to maturity. Bond A has a 10% coupon rate with a semiannual coupon payment and is priced at $1,100. Bond B has an 8% coupon rate with a semi-annual coupon payment. Both bonds have the same level of risk. 

  3. What is the price of Bond B?

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