Question: Problem 10-3 (calculator version): Bond Valuation (5 points) Exodus Limousine Company has $1,000 par value bonds outstanding at 12 percent interest (or coupon rate). The

Problem 10-3 (calculator version): Bond Valuation (5 points) Exodus Limousine Company

Problem 10-3 (calculator version): Bond Valuation (5 points) Exodus Limousine Company has $1,000 par value bonds outstanding at 12 percent interest (or coupon rate). The bonds will mature in 40 years and pays annual interest or coupon) payments. Compute the current price per bond if the current yield to maturity is: (Use a Financial calculator or Excel to arrive at the answers. Do not round intermediate calculations. Round the final answers to 2 decimal places.) Price of the bond $ a. 7 percent b. 17 percent $

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