11. A bond has a $1,000 par value, makes annual interest payments of $100, has 8 years to maturity, cannot be called, and is not expected to default. Which is correct. a. The bond should sell at a premium if market interest rates are below 10% b. The bond should sell at a discount if interest rates are greater than 10%. c. The bond should sell at a discount if market interest rates are below 10%. d. The bond should sell at a premium if the market interest rates are above 10% e. both a and b 12. If the yield curve is upward sloping, how should the yield to maturity on a 10-year Treasury cou bond compare to that on a 1-year T-bill? a. The yield on a 10-year bond would have to be higher than that on a 1-year bill. b. The yield on a 10-year bond would be less than that on a 1-year bill. c. It is impossible to tell without knowing the coupon rates of the bonds. d. The yields on the two securities would be equal. e. It is impossible to tell without knowing the relative risks of the two securities