What will be the price of the bond

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XYZ has a $1,000 Face Value 5% Coupon Bond (paid semi-annually). The bond is selling for $949 today and matures in 8 years. (The YTM today is 5.8%) A) What will be the price of the bond in 1 year if the YTM investors demand is still 5.8%? $_________? B) What will be the price of the bond in 1 year if the YTM investors demand is 5.2%? $________?

Reference no: EM13721757

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