Wilderness Adventure Vacation Company will issue 20-year,semiannual bonds with a 9.0% coupon rate and a $1,000 par value.Bonds of similar risk and maturity are currently selling to yield 10.0% in the marketplace.What is the market price of one of the firm's new bonds? If the investment banking firm working with the firm receives a best-efforts commission of 2.0% per bond sold,how much money will it make if the issue sells only 80% of the 5,000 bonds offered? Use a financial calculator to determine your answer.
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