Kevin Rogers is interested in buying a five-year bond that pays a coupon of 10 percent on a semiannual basis. The current market rate for similar bonds is 8.8 percent. What should be the current price of this bond?

A) $1,048
B) $965
C) $1,099
D) $982

Answer: A) $1,048

Business

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Fill in the blank(s) with correct word

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