1. Calculate the fair present values of the following bonds, all of which pay interest semiannually, have a face value of $1,000, have 7 years remaining to maturity, and have a required rate of return of 10 percent. (LG 3-5)

   1. The bond has a 6 percent coupon rate.

   2. The bond has a 8 percent coupon rate.

   3. The bond has a 10 percent coupon rate.

   4. What do your answers to parts (a) through (c) say about the relation between coupon rates and present values?