Question: A bond with a $1,000 face value and a 5 percent annual coupon pays interest semiannually. The bond will mature in 15 years. The annual

 A bond with a $1,000 face value and a 5 percent

A bond with a $1,000 face value and a 5 percent annual coupon pays interest semiannually. The bond will mature in 15 years. The annual yield to maturity is 4 percent and the next coupon payment will be made in 6 months. Assuming semi-annual compounding, the bond's price today falls in which of the following ranges? Less than or equal to $1.000 O Greater than $1,000 but less than or equal to $1,100 Greater than $1.100 but less than or equal to $1.200 Greater than $1.200 but less than or equal to $1,300 O Greater than $1,300

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