Homework Help: finance

Posted by Jill on Thursday, October 11, 2012 at 3:43pm.

You buy an 8% annual coupon bond from CARRIS Inc. that has a 25 year maturity and a required return of 12%. The par value is $1,000. You sell the bond five years later when the required return is 10%. What is the beginning price of the bond when it is issued (to the nearest dollar)?

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