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D w NP A B C | E F Company Hissues one $1,000 face amount bond with a maturity of 8 years, which pays 5%

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D w NP A B C | E F Company Hissues one $1,000 face amount bond with a maturity of 8 years, which pays 5% interest annually. The bond yield to maturity is 4.5%. What is the price of the bond today? 4 5 PV of interest payments: 6 7 PV of maturity amount: 8 9 Present price of the bond 10 11 12 Put an X next to the right answer: 13 This bonds sells at a Discount 14 Premium 2

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