Lake Industries bonds have a face value of $1,000, a coupon rate of 7.2 percent, semiannual interest payments, and mature in 15 years.What is the current price of these bonds if the yield to maturity is 6.98 percent?
A) $988.39
B) $1,000.00
C) $1,020.26
D) $1,012.78
E) $1,010.68
Correct Answer:
Verified
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