A seven year government bond makes annual coupon payments of 5% and offers an interest rate (YTM) of 3% annually compounded. Supposed that one year later the bond still yields 3%. face value is 1000.

What is the bond price at year 0?

What is bond price in one year?

What return has the bondholder earned over the first year?

Please explain how to do. I have a financial calculator and have plugged in N=7, I/Y= 3, PMT= 50, Fv= 1000 and ill be solving for PV. If I did this right I got $1124.57