Arjay purchases a bond, newly issued by Amalgamated Corporation, for $$12,000.$ The bond pays $$600$ to its holder at the end of the first few years and pays $$12,600$ upon its maturity at the end of the $5$ years. a$.$ What are the principal amount, the term, the coupon rate, and the coupon payment for Arjay$$s bond?Arjay purchases a bond, newly issued by Amalgamated Corporation, for $$12,000.$ The bond pays $$600$ to its holder at the end of the

first few years and pays $$12,600$ upon its maturity at the end of the $5$ years.

a$.$ What are the principal amount, the term, the coupon rate, and the coupon payment for Arjay's bond?

Instructions: Enter your responses as whole numbers.

Principal amount: $

Term: $,$ years

Coupon rate: $\%$

Coupon payment: $

b$.$ After receiving the second coupon payment $($at the end of the second year$),$ Arjay decides to sell his bond in the bond market. What

price can he expect for his bond if the one$-$year interest rate at that time is $3$ percent? $8$ percent? $10$ percent?

Instructions: Enter your responses as whole numbers.

Expected price for the bond at:

$3$ percent: $

$8$ percent: $

$10$ percent: $