Question: Question 15 (3 points) A 2-year bond has a face value of $1000 and pays annual coupons of 9.40%. You find that the 1-year spot

Question 15 (3 points) A 2-year bond has a face value

Question 15 (3 points) A 2-year bond has a face value of $1000 and pays annual coupons of 9.40%. You find that the 1-year spot rate is 3.77%, and the 2-year spot rate is 3.97%. Assuming that the expectations hypothesis is correct, what will the bond's price be next year, immediately after the first coupon has been paid. Your answer should be in dollars and cents (ex: 1000.00). Your

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