A \$1,000 bond has a coupon of 7 petcent and mafiees w ter twethe vears. Assume that the bond sers werest anniaff. nearnst dollas: 4. e. Why are the prices diflerent in ar and b? The price of the bond int is than thie phice of the trend in b av the principal paymert d the tond in a ia than the incipal pariminit of the hind in 8 (in time? d. What ace the current yelits and the yielos to inaturity at a and by Aland your anwers to two decimal placre The bond matures aher twelve vears: Cy: the bond matures aher ex years Interest Factors for the Present Value of an Annuity of One Dollar Interest. Factors for the Present Value of One Dollar