Problem $8-17$ Bond Price Movements

Bond $x$ has a premium bond making semiannual payments. The bond pays a coupon

of $9$ percent, has a YTM of $7$ percent, and has $19$ years to maturity. Bond $Y$ is a discount

bond making semiannual payments. This bond pays a coupon of $7$ percent, has a YTM of

$9$ percent, and also has $19$ years to maturity. Both bonds have a par value of $$1,000.$

What is the price of each bond today? If interest rates remain unchanged, what do you

expect the price of these bonds to be $1$ year from now? In $9$ years? In $14$ years? In $18$

years? In $19$ years? $($Do not round intermediate calculations and round your answers to

$2$ decimal places, e$.$g$.,32\mathrm{.}16.)$