Question: Even though most corporate bonds in the United States make coupon payments semiannually, bonds issued elsewhere often have annual coupon payments.
Suppose a German company issues a bond with a par value of €1,000, 25 years to maturity, and a coupon rate of 6.3 percent paid annually. If the yield to maturity is 7.4 percent, what is the current price of the bond? Note: When coupons are paid annually, the YTM will be quoted with annual compounding. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)