Bond prices and yieldsAssume that the Financial Management Corporation's $1,000-par-value bond has a 7.200 %

coupon, matures on May 15, 2023, has a current price quote of 97.566 and a yield to maturity (YTM) of 8.021 %

. Given this information, answer the following questions:

a.What is 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.

a.The dollar price of the bond is $_________.

(Round to the nearest cent.)