What is the market value of a bond that will pay a total of 40 semi-annual coupons of $50 each over the remainder of its life? Assume the bond has a $1,000 face value and an 8% yield to maturity.
A) $634.86
B) $642.26
C) $1,135.90
D) $1,197.93
E) $1,215.62
Correct Answer:
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