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Navarro, Inc., plans to issue new zero coupon bonds with a par value of $1,000...

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Question

Accounting

Navarro, Inc., plans to issue new zero coupon bonds with a par value of $1,000 to fund a new project. The bonds will have a YTM of 5.97 percent and mature in 25 years. If we assume semiannual compounding, at what price will the bonds sell?

Multiple Choice

$229.77

$220.58

$222.12

$224.03

$234.65

Answer & Explanation Solved by verified expert
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