Ten years ago bacon signs inc issued twenty-five-year 8, Financial Management

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Ten years ago bacon signs inc issued twenty-five-year 8

Ten years ago Bacon Signs Inc. issued twenty-five-year 8% annual coupon bonds with a $1,000 face value each. Since then, interest rates in general have risen and the yield to maturity on the Bacon bonds is now 9%.

Given this information, what is the price today for a Bacon Signs bond.

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Financial Management: Ten years ago bacon signs inc issued twenty-five-year 8

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Financial Management: Ten years ago bacon signs inc issued twenty-five-year 8

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