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Consider a bond paying a coupon rate of 20% per year semiannually when the market interest rate is only 5% per half-year. The bond has
Consider a bond paying a coupon rate of 20% per year semiannually when the market interest rate is only 5% per half-year. The bond has three years until maturity. Find the bond's price today and six months from now after the next coupon is paid.
A) $1123, $1090
B) $1254, $1216
C) $910, $1156
D) $1401, $1207
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