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Problem:

One year ago L&L Co. issued 15-year, non-callable, 7.5% annual coupon bonds at their par value ($1000). Today, the market interest rate on these bonds is 5.5%.

Required:

Question: What is the current price of the bonds if this is a non-callable bond?

Note: Provide support for your underlying principle.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91167778

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