Question 7 1 pts Use the information below to answer the next 3 questions. A firm has a $1000 bond that matures in 10 years with a 5% coupon rate ($50 interest payment annually). (1/3) At the time of issuing, what should the price of the bond be, assume annual compounding? Answer: $ D Question 8 1 pts (2/3) Now assume three years down the road, the interest rate on new bonds of the same risk has decreased to 3%. So the discount rate is 3% now. What is the new price of this old bond? Answer: $ Question 9 1 pts (3/3) Now assume six years down the road the interest rate on new bonds of the same risk has increased to 10%. So the discount rate is 10% now. What is the new price of this old bond? Answer: 5