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David Davis just received a cash gift from his grandfather. He plans to invest in...

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Accounting

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David Davis just received a cash gift from his grandfather. He plans to invest in a five-year bond issued by Pharoah Corp. that pays an annual coupon rate of 6.0 percent. If the current market rate is 10.00 percent, what is the maximum amount David should be willing to pay for this bond? Assume face value is $1,000. (Round answer to 2 decimal places, e.g. 15.25.)

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