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Part $1$

$($Bond valuation$)$ At the beginning of the$$ year, you bought a $$$$1$ comma $000$ par value corporate bond with an annual coupon rate of $15$ percent and a maturity date of $16$ years. When you bought the$$ bond, it had an expected yield to maturity of $11$ percent. Today the bond sells for $$$$1$ comma $500.$

a$.$ What did you pay for the$$ bond?

b$.$ If you sold the bond at the end of the$$ year, what would be your$$ one$-$period return on the$$ investment? Assume that you did not receive any interest payment during the holding period.

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Part $1$

a$.$ The price you paid for the bond is $$$

$$

enter your response here. $($Round to the nearest$$ cent.$)$