1. Boston Markets has a 85 percent coupon bond outstanding that matures in 5 years. The bond pays interest semiannually, and its face value is $1,000 (a) The bond currently is priced at $986, what is the vield to maturity on this bontot (b) What is the current yield on the bond?[4pt.) (C) What is the market price per bond if the yield to maturity suddenly changed to 72 percent? What is the percentage change in the price of the bond?(pt.) (d) With the same maturity, if the bond's coupon rate is lower than 8.5 percent, do you think the price of the bon will be more or less sensitive to the change of the yield to maturity? Whyit4pt.) Page 2 BIU A -A- IE * 3 31 x , EE - V G T 12pt Paragraph