Problem $9\mathrm{.}4$: R & J$,$ Inc. issues a $10-$year $$1,000$ bond that pays $$28\mathrm{.}50$ semiannually. The market price for the bond is $$975.$ The market's required yield to maturity on a comparable$-$risk bond is $6$ percent. Use excel to calculate and include excel formulas.

A$.$ What is the value of the bond to you?.

b$.$ What happens to the value if the market's yield to maturity on a comparablerisk bond $($i$)$ increases to $8$ percent or $($ii$)$ decreases to $4$ percent?

c$.$ Under which of the circumstances in parts a & b should you purchase the bond?

a$.$

$\backslash$table$[[$Years$,],[$Par $($FV$),],[$PMT$,],[$Nper$,],[m,],[$Comparable risk $($Rate$),],[,],[$Bond value $($PV$),]]$

b$.$

$\backslash$table$[[$Comparable risk $($Rate$),],[$Bond value $($PV$),]]$

$\backslash$table$[[$Comparable risk $($Rate$),],[$Bond value $($PV$),]]$

c$.$