A bond that matures in

13

years has a

$1,000

par value. The annual coupon interest rate is

12

percent and the market's required yield to maturity on a comparable-risk bond is

16

percent. What would be the value of this bond if it paid interest annually? What would be the value of this bond if it paid interest semiannually?

a.The value of this bond if it paid interest annually would be

$enter your response here.

(Round to the nearest cent.)