Question: Consider a bound whose characteristics are as follows: - Coupon rate: 5% - Coupon payment frequency: annual - Maturity: 10 years - Face value: 1000

Consider a bound whose characteristics are as follows: - Coupon rate: 5% - Coupon payment frequency: annual - Maturity: 10 years - Face value: 1000 - Actuarial rate of return: 6% What is the value of the bond?

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