Question: please answer all letters. The following table summarizes the yields to maturity on several one-year, zero-coupon securities: Security Yield (%) Treasury 3.07 AAA corporate 3.15

please answer all letters. please answer all letters. The following table summarizes the yields to maturity

The following table summarizes the yields to maturity on several one-year, zero-coupon securities: Security Yield (%) Treasury 3.07 AAA corporate 3.15 BBB corporate 4.15 B corporate 4.90 a. What is the price (expressed as a percentage of the face value) of a one-year, zero-coupon corporate bond with a AAA rating? b. What is the credit spread on AAA-rated corporate bonds? c. What is the credit spread on B-rated corporate bonds? d. How does the credit spread change with the bond rating? Why? a. What is the price (expressed as a percentage of the face value) of a one-year, zero-coupon corporate bond with a AAA rating? The price of this bond will be (Round to three decimal places.)

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