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Assume you have a one-year investment horizon and are trying to choose among three bonds. All have the same degree of default risk and mature in 10 years. The first is a zero-coupon bond that pays $1,000 at maturity. The second has an 8.9% coupon rate and pays the $89 coupon once per year. The third has a 10.9% coupon rate and pays the S109 coupon once per year. Assume that all bonds are compounded annually a. If all three bonds are now priced to yield 8.9% to maturity, what are their prices? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Zero 8.9%. Coupon 10.9% Coupon Current prices b. Il you expect their yields to maturity to be 8.9% at the beginning of next year, wiat will their prices better? (Do not round intermediate calculations. Round your answers to 2 decimal places.) ZAID 8.9%. Coupon 10.9% Coupon Price one year from now c. What is your rate of return on each bond during the one-year holding period? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Zero 8.9%. Coupon 10.9% Coupon Rate of return Find the duration of a 6% coupon bond making annual coupon payments if it has three years until maturity and a yield to maturity of 6.7%. What is the duration if the yield to maturity is 10.7%? (Do not round intermediate calculations. Round your answers to 4 decimal places.) Duration YTM 6.7% YTM 10.7% YTM