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    Jul 26, 2012, 10:56 AM
    . Assume a $1,000 face value bond has a coupon of 8.5%, pays interest semiannually
    Assume a $1,000 face value bond has a coupon of 8.5%, pays interest semiannually
    and has an eight year life. If investors are willing to accept a 10.25
    percent return on bonds of similar quality, what is the present value or worth of this
    bond?

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