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Bond prices and yieldsAssume that the Financial Management Corporation's $1,000-par-value bond has a 5.100% coupon, matures on May 15, 2027, has a current price quote

Bond prices and yieldsAssume that the Financial Management Corporation's $1,000-par-value bond has a 5.100% coupon, matures on May 15, 2027, has a current price quote of 96.086 and a yield to maturity (YTM) of 6.223%. Given this information, answer the following questions:

a.What was the dollar price of the bond?

b.What is the bond's current yield?

c.Is the bond selling at par, at a discount, or at a premium? Why?

d.Compare the bond's current yield calculated in part b to its YTM and explain why they differ.

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