Question: answer a and b Consider a 30-year bond that has aface value of $1,000 and pays semiannual coupons. The coupon rate of the bond is

answer a and b

Consider a 30-year bond that has aface value of $1,000 and pays semiannual coupons. The coupon rate of the bond is 8%. A. Suppose that the bond is currently selling for $900. Find the bond's yield to maturity. B. Suppose that the bona is currently selling for its face value. Calculate the bond's yield to maturity and verify that the bond's yield to maturity is equal to its coupon rate

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