Question: What is the maximum price you will pay for a bond with a face value of $950 and a coupon rate of 12%, paid annually,

What is the maximum price you will pay for a bond

What is the maximum price you will pay for a bond with a face value of $950 and a coupon rate of 12%, paid annually, if you want a yield to maturity of 9%? Assume that the bond will mature in 7 years and the first payment will be received in one year. The maximum price you are willing to pay for the bond is

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