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P9-10 (similar 120) Question HelpV it} {Related to Checkpoint 9.3} {Bond valuation} Doisneau 15year bonds have an annual coupon interest of 11 percent, make interest payments on a semiannual basis, and have a $1,000 par value. If the bonds are trading with a market's required yield to maturity of 17 percent, are these premium or discount bonds? Explain your answer. What is the price of the bonds? 5. If the bonds are trading with a yield to maturity of \"WEE, then (Select the best choice below.) 0 A. there is not enough information to judge the value of the bonds. 0 B. the bonds should be selling at a discount because the bond's coupon rate is less than the yield to maturity of similar bonds. 0 C. the bonds should be selling at par because the bond's coupon rate is equal to the yield to maturity of similar bonds. D. the bonds should be selling at a premium because the bonds coupon rate is greater than the yield to maturity of similar bonds. P943 (similar 120) Question HelpV :1 {Related to Checkpoint 9.2 and Checkpoint 9.3} {Bond valuation) Fingen's 16year, $1,000 par value bonds pay 13 percent interest annually. The market price of the bonds is $1,140 and the market's required yield to maturity on a comparable-risk bond is 10 percent. a. Compute the band's yield to maturity. b. Determine the value of the bond to you, given your required rate of return. 1:. Should you purchase the bond? 3. What is your yield to maturity on the Fingen bonds given the market price of the bonds? 5% (Round to two decimal places.) P9-6 (similar to) Question Help (Related to Checkpoint 9.3) (Bond valuation) Pybus, Inc. is considering issuing bonds that will mature in 24 years with an annual coupon rate of 6 percent. Their par value will be $1,000, and the interest will be paid semiannually. Pybus is hoping to get a AA rating on its bonds and, if it does, the yield to maturity on similar AA bonds is 9.5 percent. However, Pybus is not sure whether the new bonds will receive a AA rating. If they receive an A rating, the yield to maturity on similar A bonds is 10.5 percent. What will be the price of these bonds if they receive either an A or a AA rating? a. The price of the Pybus bonds if they receive a AA rating will be $ (Round to the nearest cent.)