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Bond x is a premium bond making semiannual payments. The bond has a coupon rate of 8 . 3 percent, a YTM of 6 .

Bond x is a premium bond making semiannual payments. The bond has a coupon rate
of 8.3 percent, a YTM of 6.3 percent, and has 16 years to maturity. Bond Y is a discount
bond making semiannual payments. This bond has a coupon rate of 6.3 percent, a YTM
of 8.3 percent, and also has 16 years to maturity. Assume the interest rates remain
unchanged and both bonds have a par value of $1,000.
a. What are the prices of these bonds today? (Do not round intermediate calculations
and round your answer to 2 decimal places, e.g.,32.16.)
b. What do you expect the prices of these bonds to be in one year? (Do not round
intermediate calculations and round your answer to 2 decimal places, e.g.,32.16.)
c. What do you expect the prices of these bonds to be in three years? (Do not round
intermediate calculations and round your answer to 2 decimal places, e.g.,32.16.)
d. What do you expect the prices of these bonds to be in eight years? (Do not round
intermediate calculations and round your answers to 2 decimal places, e.g.,32.16.)
e. What do you expect the prices of these bonds to be in 12 years? (Do not round
intermediate calculations and round your answers to 2 decimal places, e.g.,32.16.)
f. What do you expect the prices of these bonds to be in 16 years? (Do not round
intermediate calculations.)
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