On January 1, 2017, you buy a three-year, annual-pay coupon bondwith 6% coupon rate, $1000 face value, and yield to maturity 6%. OnJanuary 1, 2018, you receive the first coupon of the bond, and onJanuary 1, 2019, you receive the second coupon. Immediately afterreceiving the second coupon, you sell the bond. Assume that yieldson bonds of all maturities are equal to 4.5% on January 1, 2019. 

a)(10 points) What is the price that you pay for the bond on January1, 2017? 

b) (10 points) What is the selling price of the bond onJanuary 1, 2019? 

c) (10 points) What is the value as of January 1,2019 of all coupon payments that you have received as part of thisbond investment? (Assume that you can re-invest coupons at the YTM(6%)) 

d) (10 points) What is your annualized HPR on your 2-yearbond investment?