Question: You are evaluating a bond issued by Spark Ltd that has a face value of $1,000 and a coupon rate of 5% pa. The coupons

You are evaluating a bond issued by Spark Ltd that has a face value of $1,000 and a coupon rate of 5% pa. The coupons are paid semi-annually and the bond has 10 years to maturity. If you require 6.5% pa yield, what would you expect to pay for this bond? a. $892.17 b. $1,115.83 c. $1,116.92 d. $890.95

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