A bond is purchased at a premium and the price is calculated assuming a yield of j2 = 11%.You are given that the semi-annual coupon payment is $65 and that the book value adjustment portion of the 1st coupon is $7.65.What is the price of the bond?
A) $1320.91
B) $1181.82
C) $1042.73
D) $1007.65
Correct Answer:
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