Question: HW13: Problem 6 Prevlous Problem List Next (1 point) ,, A $1000 par value 8% bond with quarterly coupons is callable 7 years after issue.

HW13: Problem 6 Prevlous Problem List Next (1 point) ,, A

HW13: Problem 6 Prevlous Problem List Next (1 point) ,, A $1000 par value 8% bond with quarterly coupons is callable 7 years after issue. The bond matures for $1000 at the end of ten years and is sold to yield a nominal rte of 5% convertible quarterly under the assumption that the bond will not be called. Find the redemption value at the end of 7 years that will provide the purchaser the same yield rate. ANSWER $

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