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Morin Company's bonds sell for $935, have a par value of $1,000, and make an annual...

Morin Company's bonds sell for $935, have a par value of $1,000, and make an annual ceupon interest payments of $65. The market requires an interest rate of 8.2% on these bonds. How many more years do these bonds have until maturity?

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Answer #1

Face/Par Value = $1000

Annual Periodic Coupon Payment = $65

Current price = $935

Market Interest rate = 8.2%

Calculating the No of years to maturiy using excel "NPER" function:-

So, No of years left for maturity is 4.77

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