BCE bond has 10 years until maturity and a coupon rate of 8% payable annually, and sells for $1,100.

a. If the BCE bond in problem 6 has a yield to maturity of 8% 1 year from now, what will its price be? (Round your answer to the nearest whole dollar.) Bond's price $ 1000 Numeric Response 1. Edit Unavailable. 1000 correct.

b. What will be your rate of return if you buy it today and sell it in one year? (Round your answer to 2 decimal places. Use minus sign to enter negative rate of return, if any.) Bond's rate of return 18.00 Numeric Response 2. Edit Unavailable. 18.00 incorrect. %

c. If the inflation rate during the year is 3%, what is the real rate of return on the bond? (Round your answer to 2 decimal places. Use minus sign to enter negative rate of return, if any.) Bond's real rate of return 14.56 Numeric Response 3. Edit Unavailable. 14.56 incorrect. %