logos corporation planning issuing bonds pay no interest can be converted 1000 maturity 7yea
The Logos Corporation is planning on issuing bonds that pay no interest but can be converted into $1,000 at maturity, 7 years from their purchase. To price these bonds competitively with other bonds of equal risk, it is determined that they should yield 9 percent, compounded annually. At what price should the Logos Corporation sell these bonds?