Problem $3-8$ Bond returns

$10$ If a bond's yield to maturity does not change, the return on the bond each year will be equal to the yield to maturity. Confirm this for points both a premium and a discount bond using a $4-$year $4\mathrm{.}0$ percent coupon bond with annual coupon payments and a face value of $$1,000.$

a$.$ Assume the yield to maturity is $3\mathrm{.}0$ percent.

b$.$ Assume the yield to maturity is $5\mathrm{.}0$ percent.

Complete this question by entering your answers in the tabs below.

Assume the yield to maturity is $3\mathrm{.}0$ percent.

Note: Do not round intermediate calculations. Enter "Bond price" answers to $2$ decimal places and "Rate of return" as a percent rounded to $1$ decimal place.

$\backslash$table$[[$Bond price today,$$,1\mathrm{.}038\mathrm{.}27],[$Bond price in one year,,$],[$Rate of return,,$]]$