Bond valuation and yield to maturity Persenal Finance Problem Mark. Goldsmith's broker has shown him two bonds insued by different companies. Each hes a maturity of 6 years, a par value of $1,000, and a yieid to maturity of 6.40%. The first bond is issued by Crabbe Waste Disposal and has a coupon interest rate of 6.316% paid arinually. The second bond, issued by Malfoy Enterprises, has a coupcn interest rafe of 8 . 80% paid annually a. Calculato the neiling poce for each of the bonds. b. Mark has $18,000 to invest. If he wants to invest only in bonds issued by Crabbe Waste Disposal, how many of those bonds could he buy? What if he wants to invest only in bonds issued by Malfoy Enlerprises? c. What is the total interest income that Mark could earn each year if he invested only in Crabbe bonds? How much interest would he eam each year if he invorted only in Malfoy bonde? d. Assume that Mark will reinvest all the interest he receives as it is paid and that his rate of return on the reinvested interest will be 9%. Calculate the total doliars that Mark wil accumulate over 6 years if he invests in Crabbe bonds or Maifoy bonds. Your total calculation will include ine interest Mark gots, the principal he receivos when the bonds mature, and all the additional interest he eama from reinvesting the coupon payments he raceives k. The bonds issued by Crabbe and Meifoy might appear to be equally good investrnents because they offer the same yield to maturity of 6.40%. Notice, however, that your answers to part d are not the same for each bond, suggesting that one bond is a better investment than the other Why is ovat