A European company issues a bond with a par value of $1,000, 13 years to maturity, and a coupon rate of 6 percent paid annually. If the yield to maturity is 11 percent, what is the current price of the bond? Group of answer choices $640.46 $622.56 $658.44 $662.51

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter4: Bond Valuation
Section: Chapter Questions
Problem 12P: Bond Yields and Rates of Return A 10-year, 12% semiannual coupon bond with a par value of 1,000 may...
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A European company issues a bond with a par value of $1,000, 13 years to maturity, and a coupon rate of 6 percent paid annually. If the yield to maturity is 11 percent, what is the current price of the bond?

Group of answer choices
$640.46
$622.56
$658.44
$662.51
$636.66
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