Find the value of the following two corporate bonds:

	Bond 1	Bond 2
Time to Maturity (Years)	16	16
Coupon Frequency (a year)	2	2
Coupon Rate (Annual)	4%	8%
Face Value	$1,000	$1,000
Required Return (Annual)	7%	7%

b) How does the value of each bond change when the time to maturity changes? Construct a data table that shows the bond value as the maturity declines from 16 years down to zero in one-year increments. You can present one data table for both bonds or two data tables separately one for each bond. (5 points) Answer in writing what trend in value do you see for each bond? What is the bond value as maturity approaches zero? Why?

c)Graph the values of the two bonds on one graph with maturity as X axis and bond value as Y axis.