Clifford Clark is a recent retiree who is interested in investing some of his savings in corporate bonds. His financial planner has suggested the following bonds: Bond A has a 9% annual coupon, matures in 12 years, and has a $1,000 face value. Bond B has a 13% annual coupon, matures in 12 years, and has a $1,000 face value. Bond C has an 11% annual coupon, matures in 12 years, and has a $1,000 face value. Each bond has a yield to maturity of 11%.

Question 1 OM10 Submit Each bond has a yield to maturity of 11%. The data has been collected in the Microsoft Excel file below. Download the spreadsheet and perform the required analysis to answer the questions below. Do not round intermediate calculations. Use a minus sign to enter negative values, if any. If an answer is zero, enter 'o'. x Download spreadsheet Band Valuation-13683.xlsx a. Before calculating the prices of the bands, indicate whether each bond is trading at a premium, at a discount, or at par Band Ais selling at because its coupan rate is +) the going interest rate. Bond Bis selling at because its coupon rate is the going interest rate. Bond is selling at because its coupon rate is +] the going interest rate. b. Calculate the price of each of the three bonds. Round your answers to the nearest bent. Price (Bund A): $ Price (Bond B): $ Price (Bond C): S c. Calculate the current yield for each of the three bonds. (Hint: The expected current yield is calculated as the annual interest divided by the price of the bord.) Round your answers to two decimal places Current yield (Band A): Current yield (Band B): % Current yield (Bond C): d. If the yield to matunity for each bord remains at 11%, what will be the price of each bond 1 year from now? Round your answers to the nearest cent. Price (Bond A): $ $ Price (Bond B): $ Price (Bond C): S What is the expected capital gains yield for each bond? What is the expected total return for each band7 Round your answers to twa decimal places. Bond A A Bond B Bond c Expected capital gains yield Expected total return % 150 e. Mr. Clark is considering another bond, Bond D. It has an 8% semiannual coupon and a $1,000 face value i.e., it pays a $40 Coupon every 6 months). Bond D is scheduled to mature in 6 years and has a price of $1,160. It is also callable in 4 years at a call price of $1.070. 1. What is the bond's naminal yield to maturity? Round your answer to two dedmal places