1 A 7% coupon rate bond makes(annual interestrate payments. Par value is $1,000. The bond matures in 10 years.IThe required rate of return is 6.5%. What is the current price 850.34 972.56 1,035.94 1,050.25 b. c. A 7% coupon rate bond makes annual interest rate payments. Par value is $1,000. The bond matures in 10 years. The required rate of return is 11.5%. What is the current price 2 760.45 750.45 740.45 730.45 A 7% coupon rate bond makes annual interest rate payments. Par value is $1,000. yields on bonds with similar risk are 7%, the bond has four years to maturity. 3 800.00 900.00 1,000.00 1,100.00 b. 4 A five year, zero coupon bond, with a $1,000 face value sells at auction for $750.00 Calculate the bonds yield to maturity 7.35% 6.75% 5.92% 4.21% 5 A provision in a bond contract that gives the issuer the right to pay-off the bond prior to normal maturity a. call provision b. conversion feature c. restrictive covenant d none of the above d put provision 6 A corporate bond with an original maturity of ten years and a face value of $1,000,000. It has a coupon rate of 6.75%, annual payments, and six years to maturity. Current yields on bonds of similar risk are 4.25%. Value this bond 1,000,000.00 1,032,210.20 1,129,993.50 1,245,325.22 b. 7 Viewed from a firm's operating statement, the priority of payments is a. taxes first, than bond holders, then stock holders b. bondholders first, then taxes, then stockholders c stockholders always first, then bondholders, then taxes d none of the above 8 AAA rated bonds are often referred to as a. debenture b. speculative grade c subordinated d high quality issues e investment grade A bond with a $1,000 par value has an 7.25% coupon rate. It will mature in 5 years, and coupon payments are made annually. Present annual yields on similar bonds are 10.5%, what should the current price be; 9 903.22 899.36 878.36 852.22