50 51 (Bond valuation relationships) A bond of Telink Corporation pays $110 in annual Interest, with a $1,000 par value The bonds mature in 10 years. The market's required yield to maturity on a comparable-risk bond is 10 percent a. Calculate the value of the bond b. How does the value change if the market's required yield to maturity on a comparable-risk band (1) increases to 14 percent or (I) decreases to 6 percent? c. Interpret your findings in parts a and b a. What is the value of the bond if the market's required yield to maturity on a comparable-risk bond is 10 percent? (Round to the nearest cent.) 52 53 54 55