Bond price: Regatta, Inc., has six-year bonds outstanding that pay a 8.25 percent coupon rate. Investors buying the bond today can expect to earn a yield to maturity of 6.875 percent. What should the company's bonds be priced at today?
A) $972
B) $1,066
C) $1,014
D) $923
Answer: B) $1,066
Business
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