Question: Question 91 pts Bond Features Maturity (years) = 7 Face Value = $1,000 Starting Interest Rate 3.93% Coupon Rate = 3% Coupon dates (Annual) If

Question 91 pts Bond Features Maturity (years) = 7 Face Value = $1,000 Starting Interest Rate 3.93% Coupon Rate = 3% Coupon dates (Annual) If interest rates change from 3.93% to 5.35% immediately after you buy the bond today (and stay at the new interest rate), what is the price effect in year 4 ? State your answer to the nearest penny (e.g., 48.45) If there is a loss, state your answer with a negative sign (e.g., -52.30)

Question 171 pts What is the price of a bond with the following features? Face Value = $1,000 Coupon Rate = 7% (stated as an ANNUAL rate) Semiannual coupon payments Maturity = 7 years YTM = 6.34% (Stated as an APR) State your answer to the nearest penny (e.g., 984.25)

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