A bond that matures in 15 years has a $1,000 par value. The annual coupon interest rate is 12 percent and the market’s required yield to maturity on a comparable-risk bond is 14 percent. What would be the value of this bond if it paid interest annually? What would be the value of this bond if it paid interest semiannually?
a. The value of this bond if it paid interest annually would be $. (Round to the nearest cent.)
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