Question: A B D E F 1 Company H issues one $1,000 face amount bond with a maturity of 2 8 years, which pays 5% interest

A B D E F 1 Company H issues one $1,000

A B D E F 1 Company H issues one $1,000 face amount bond with a maturity of 2 8 years, which pays 5% interest annually. The bond yield to maturity 3 is 4.5%. What is the price of the bond today? 4 5 PV of interest payments: $373.39 6 7 PV of maturity amount: 8 9 Present price of the bond 10 11 12 Put an X next to the right answer: 13 This bonds sells at a Discount Premium 14

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