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A New Brunswick Electric Bond Issue Carrying a 7

Question 111

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A New Brunswick Electric bond issue carrying a 7.6% coupon matures on November 1, 2020. Face value bonds of $1000 traded at $1301.18 on June 10, 2008 (yield to maturity required by the bond market on that date was 5.9% compounded semiannually). Calculate the quoted price on June 10, 2000.

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