What is the bonds price-morrissey company
Problem:
The Morrissey company's bonds mature in 7 years, have a par value of $1000, and make an annual coupon payment of $70. The market interest rate for the bond is 8.5%. what is the bond's price?
Now Priced at $20 (50% Discount)
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The market interest rate for the bond is 8.5%. what is the bond's price?
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