Question: XYZ Corp. has a bond issue with a $ 1 , 0 0 0 par value and a 1 2 % coupon rate. It pays

XYZ Corp. has a bond issue with a $1,000 par value and a 12% coupon rate. It pays interest semi-
annually and has 10 years remaining to maturity. It just made a coupon payment (i.e., it has 10
coupon payments left to make). If bonds with similar risk and maturity have yields to maturity of
7%, What is the price of XYZ's bond?
XYZ Corp. has a bond issue with a $1,000 par value

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