What will happen to the price of the? bond

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1) How much will the coupon payments be of a 20?-year $1,000 bond with a 9.5?% coupon rate and quarterly? payments?

A. $23.75

B. $95.00

C. $7.92

D. $47.50

2) A $5,000 bond with a coupon rate of 5.5?% paid semiannually has ten years to maturity and a yield to maturity of 6.6?%. If interest rates fall and the yield to maturity decreases by? 0.8%, what will happen to the price of the? bond?

A. rise by $ 285.39

B. fall by $342.47

C. rise by $ 399.55

D. fall by $ 285.39

Reference no: EM131318834

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