If investors require a rate return equal to 12 percent on, Financial Management

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If investors require a rate return equal to 12 percent on

Buner Corp.’s outstanding bond has the following characteristics:

Years to maturity 6.0

Coupon rate of interest 8.0%

Face value. $1,000

If investors require a rate return equal to 12 percent on similar risk bonds and interests is paid semiannually, what should be the market price of Buner’s bond?

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Financial Management: If investors require a rate return equal to 12 percent on

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