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Bond P is a premium bond with a coupon of 8.3 percent , a YTM of 6.64 percent, and 16 years to maturity. Bond D
Bond P is a premium bond with a coupon of 8.3 percent , a YTM of 6.64 percent, and 16 years to maturity. Bond D is a discount bond with a coupon of 8.3 percent, a YTM of 9.64 percent, and also 16 years to maturity. If interest rates remain unchanged, what is the difference in the prices of these bonds 9 year from now? (i.e., Price of Bond P - Price of Bond D) Note: Corporate bonds pay coupons twice a year.
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