Question: You are considering purchasing a five-year BBB-rated Corporate Bond with a coupon of 4.5% paid annually, face value of $1,000. You observe that the market

You are considering purchasing a five-year BBB-rated Corporate Bond with a coupon of 4.5% paid annually, face value of $1,000. You observe that the market rate for BBB Corporates is 4.8%. What is the maximum you should pay for this bond?

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