Question: Three $1,000 face value, 10-year, non-callable, bonds have the same amount of risk, hence their YTMs are equal. Bond 1 has an 8% annual coupon,

Three $1,000 face value, 10-year, non-callable, bonds have the same amount of risk, hence their YTMs are equal. Bond 1 has an 8% annual coupon, Bond 2 has a 10% annual coupon, and Bond 3 has a 12% annual coupon. Bond 2sells at par. Assuming that interest rates remain constant for the next 10 years, what can you say about the relative prices of Bond 1 and Bond 3? That is, indicate whether each bond should sell at par, discount or premium

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