Question: THIS PROBLEM HAS 3 QUESTIONS. EACH QUESTION HAS 4 POSSIBLE ANSWERS. THERE IS A DROPDOWN MENU FOR EACH QUESTION. Calculate the price of a bond

THIS PROBLEM HAS 3 QUESTIONS. EACH QUESTION HAS 4 POSSIBLE ANSWERS. THERE IS A DROPDOWN MENU FOR EACH QUESTION.

Calculate the price of a bond with 5 years left to maturity and a market interest rate (YTM) of 3.00 percent. Assume the par value is $1,000.

Question 1: The bond is a zero-coupon bond and compounding is annual. Its price is [ Select ]

Question 2: The bond has a 6% coupon rate and compounding is annual. Its price is [ Select ]

Question 3: The bond has an 8% coupon rate and compounding is semiannual. Its price is [ Select ]

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