Question: Xanth Co. has 5.7% annual coupon bonds with face value of $1,000 and 7 years remaining until maturity. The bonds are priced to yield 8.7%.

Xanth Co. has 5.7% annual coupon bonds with face value of $1,000 and 7 years remaining until maturity. The bonds are priced to yield 8.7%. What is the present value of the bonds coupon payments (do not include the repayment of face value at maturity)?

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