Business, 05.05.2020 09:12 desimond01

Lance Whittingham IV specializes in buying deep discount bonds. These represent bonds that are trading at well below par value. He has his eye on a bond issued by the Leisure Time Corporation. The $1,000 par value bond pays 8 percent annual interest and has 17 years remaining to maturity. The current yield to maturity on similar bonds is 11 percent.

What is the current price of the bonds?

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Lance Whittingham IV specializes in buying deep discount bonds. These represent bonds that are tradi...

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