Assume that on january 1, 2018, Mario Corporation issues bonds with a par value of $100, a maturity of two years, and a coupon rate of 59 . The bonds were sold in the market for $102 and are traded on the bond exchange. Required 1. Calculate the return for an investor who bought a bond in early 2018 and sold it at the end of the year for 5103 , after receiving the first coupon payment Explainl. 2. Why do you think the bond was sold at a premium (above par)? Question 6 Recently, the European central Bank has raised interest rates to fight inflation. 1 What affecrdoes this development have on the prices of existing bonds traded on the stock exchange? Explaink