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Assume a 5 - year Treasury bond has a coupon rate of 4 . 5 % . a . Give examples of required rates of

Assume a 5-year Treasury bond has a coupon rate of 4.5%.
a. Give examples of required rates of return that would make the bond sell at a discount, at a premium, and at par.
b. If this bond's par value is $10.000. calculate the differina values for this bond aiven the required rates vou choose in part a.
a. At what rate would the bond sell at a discount? (Select the best answer below.)
A.3.0%
B.4.5%
C.6.0%
At what rate would the bond sell at a premium? (Select the best answer below.)
A.3.0%
B.4.5%
C.6.0%
At what rate would the bond sell at par? (Select the best answer below.)
A.3.0%
B.4.5%
C.6.0%
b. If this bond's par value is $10,000 and the required rate is 6.0%, the present value of the bond is $.(Round to the nearest cent.)
If this bond's par value is $10,000 and the required rate is 3.0%, the present value of the bond is $.(Round to the nearest cent.)
If this bond's par value is $10,000 and the required rate is 4.5%, the present value of the bond is $.(Round to the nearest cent.)
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