A Metallico bond carries a coupon rate of 8 percent, payable semi-annually, has 9 years until maturity, and sells at a yield to maturity of 9 percent.

a. What interest payments do bondholders receive each year?

b. At what price does the bond sell?

c. Calculate the bond price if the yield to maturity:

(i) falls to 7 percent (ii) falls to 8 percent (iii) rises to 10 percent

Calculate without using excel