Question: please show all work 2. [2 pts] Bob purchases a 10 -year 1000 par value bond which pays 6% coupons annually. The redemption value and

please show all work 2. [2 pts] Bob purchases a 10

please show all work

2. [2 pts] Bob purchases a 10 -year 1000 par value bond which pays 6% coupons annually. The redemption value and the price of the bond are both 1000 . Bob reinvests the coupons at 5%. (a) How much will he have in total in 10 years? (b) What yield rate will he have earned on his investment of 1000

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