A $1,000, 9.5% bond with semiannual coupons redeemable at par on March 1, 2026, is bought on September 19, 2017, to yield 7% compounded semiannually.

a). What is the purchase price of the bond?

a. $1,157.86 b. $1,162.11 c. $1,256.65 d. none of these

b). What is the bond premium or discount?

a. $162.11 (premium) b. $162.11 (discount) c. $256.65 (premium) d. none of these

c). ABC. Ltd is considering undertaking a special project. The initial cash outlay is $75,000. The project will return $8,000 at the end of each year for 12 years. What is the net present value, if the discount rate is 6% compounded annually?

a. $21,000 b. $-21,000 c. $7,929 d. -$7,929

Please show work. upload text.