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# A $100 000, 8.75% bond with interest payable annually is redeemable at 103 in 4 years. What is the purchase price to yield 8% compounded quarterly?

A $100 000, 8.75% bond with interest payable annually is redeemable at 103 in 4 years. What is the purchase price to yield 8% compounded quarterly?

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FV103000Period16Rate0.04Coupon2187.5Purchase P $ 80,481.94