Question: Consider a bond, whose coupons are paid annually and whose price and coupon are shown below. The bond has 10-year maturity. Assume face value

Consider a bond, whose coupons are paid annually and whose price and coupon are shown below. The bond has 10-year maturity. Assume face value is $100 3 Mond Coupon (K) 3 Price (N) 89.00 a. What is the rate which will equalize the price and the discounted cash flows of the bond? (Do not round Intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) 47 Bond Coupon (16) 3 Answer % b. Cakculate that number which will allow you to assess the level of interest rate risk of the bond. (Do not round Intermediate calculations. Round your answers to 2 decimal places.) Bond Coupon 196) B answer years

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