Calculate the purchase price of the following bonds. Indicate whether the bonds are priced at a discount, at par or at a premium. Give your answers in dollars and cents to the nearest cent.

Face Value Coupon Rate Years to Maturity Market Rate a) $1,000 r = 6.5% 5 j₂ = 8.25% b) $10,000 r = 8.75% 13 j₂ = 7% c) $100 r = 10.5% 21 j₂ = 10.5%

Quoted coupon rates and market rates are nominal annual rates compounded semi-annually.

a)Price = $

This bond is priced at:

a discount

par

a premium

b)Price = $

This bond is priced at:

a discount

par

a premium

c)Price = $

This bond is priced at:

a discount

par

a premium