Question: e. Mr. Clark is considering another bond, Bond D. It has a 9% semiannual coupon and a $1,000 face value (.e., it pays a $45


e. Mr. Clark is considering another bond, Bond D. It has a 9% semiannual coupon and a $1,000 face value (.e., it pays a $45 coupon every 6 months). Bond D is scheduled to mature in 8 years and has a price of $1,110. It is also callable in 5 years at a call price of $1,020 1. What is the bond's nominal yield to maturity? Round your answer to two decimal places. % 2. What is the bond's nominal yield to call? Round your answer to two decimal places. 96 Which of the following bonds has the most price risk? Which has the most reinvestment risk? A 1-year bond with a 10% annual coupon A 5-year bond with a 10% annual coupon A 5-year bond with a zero coupon A 10-year bond with a 10% annual coupon A 10-year bond with a zero coupon 9. Calculate the price of each bond (A, B, and C) at the end of each year until maturity, assuming interest rates remain constant. Round your answers to the nearest cent. Years Remaining Until Maturity Bond A 12 $ Bond B Bond C $ $ 11 $ $ $ 10 S $ $ 9 $ $ $ 8 $ $ $ 7 $ $ $ 6 $ $ $ 5 $ $ $ 4 $ $ $ 3 $ $ $ $ $ 2 $ $ $ 1 $ $ $ 0 $ $
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