6. Liberty, Inc. has 9 percent coupon bonds on the market that have 7 years left to maturity. The par value of the bonds is $1,000, and the bonds make annual payments. If the yield to maturity on these bonds is 9 percent, what is the current bond price?

a. $825.09

b. $914.65

c. $1,000.00

d. $1,123.54

7. Lambert Co. issued 15-year bonds two years ago at a coupon rate of 7.8 percent. The bonds make semiannual payments. If these bonds currently sell for 96 percent of the par value, what is the yield to maturity?

a. 6.8%

b. 7.2%

c. 8.3%

d. 8.8%