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Pacific Brands issued 10-year bon ds 4 years ago with a coupon rate of 9%, paid semi-annually

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Pacific Brands issued 10-year bon

ds 4 years ago with a coupon rate

of 9%, paid semi-annually. At

the time of issue, the bonds sold

at par. Today, bonds of similar ri

sk and maturity will pay a coupon

rate of 6%. Assuming semi-annual coupon payments, what will be the current market price of the

company’s bonds?