Question: 5 . A 1 0 - year bond pays 5 % annually on a face value of $ 1 , 0 0 0 . If

5. A 10-year bond pays 5% annually on a face value of $1,000. If similar bonds are currently yielding 5%, what is the market value of the bond? Use semi-annual analysis.
6. A 20-year bond, with a par value equalling $1,000, pays 8% annually. If similar bonds are currently yielding 10% annually, what is the market value of the bond? Use semi-annual analysis.
7. A 10-year zero-coupon bond that yields 11% is issued with a $1,000 par value. What is the issuance price of the bond?

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