Rogoff Co.'s 15-year bonds have an annual coupon rate of 9.5%. Each bond has face value of $1,000 and makes semiannual interest payments. If you require an 11.0% nominal yield to maturity on this investment, what is the maximum price you should be willing to pay for the bond?

A. $891.00
B. $913.27
C. $936.10
D. $959.51
E. $983.49


Answer: A

Business

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