In January 2016, Anheuser-Busch issued an outstanding bond that pays a 3.3% coupon rate, matures in January

Question:

In January 2016, Anheuser-Busch issued an outstanding bond that pays a 3.3% coupon rate, matures in January 2023, and has a yield to maturity of 2.82%. In January 2017, Santander Holdings issued an outstanding bond that pays a 3.571% coupon rate, matures in January 2023, and has a yield to maturity of 3.341%.
a. Does the Anheuser-Busch bond sell at a premium, at par, or at a discount? How do you know? What about the Santander bond?
b. Which bond would you guess has a higher rating? Why?
c. Can you draw any conclusion about the shape of the yield curve, either now or when these bonds were first issued, from the information given in the problem? Why or why not?

Coupon
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a... Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...

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