A)

What is the price of a 3-year bond with a 6% annual coupon rate and face value of $1,000? The bond is trading at a yield of 4%. Coupons are to be paid annually.

Assume annual interest compounding. Round your answer to the nearest cent (2 decimal places).

B)

What is the current yield for a 12-year 8% coupon bond with a par value of $1,000 that is selling for $1,050.3? Round your answer to 4 decimal places. For example if your answer is 3.205%, then please write down 0.0321.