What was the price of this bond when it was issued


Problem: Suppose that General Motors Acceptance Corporation issued a bond with 10 years until maturity, a face value of $1,000, and a coupon rate of 7.2% (annual payments). The yield to maturity on this bond when it was issued was 6.4%. What was the price of this bond when it was issued?

When it was issued, the price of the bond was $. (Round to the nearest cent.)

 

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Finance Basics: What was the price of this bond when it was issued
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