Determine the actual valueof a $$2,000$ bond woth a $5\%$ coupon rate paid quarterly a d has $2$ years to maturity, assume rate of $6\%.$

$1.$ Is the bond issued at a premium or discount? Explain

$2.$If the intrinsic value obtained is higher than the price prevailing on the financial market what will be your decision with

regard to holding, selling or buying.

$3.$ If the intrinsic value obtained is lower than the price prevailing on the financial market what will be your decision with regard to selling, holding or buying.