Company A has a bond outstanding that pays a 7% coupon.The interest is paid semiannually,and the bond matures in 10 years.If the market rate of interest on bonds of similar risk is 8%,what should company A's bond be selling for,approximately,one year from today?
A) $1,065.15
B) $1,000.00
C) $937.53
D) $936.70
Correct Answer:
Verified
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