For example, assume Noah wants to earn a return of 12.25% and is offered the opportunity to purchase a $1,000 par value bond that pays a 14.00% coupon rate (distributed semiannually) with three years remaining to maturity. The following formula can be used to compute the bond's intrinsic value: IntrinsicValue=(1+C2A+(1+C2A+(1+C2A+(1+C2A+(1+C3A+(1+C2A+(1+C4B Complete the following table by identifying the appropriate corresponding varlables used in the equation. Based on this equation and the data, it is to expect that Noah's potential bond investment will exhibit an intrinsic value less than $1,000. Now, consider the situation in which Noah wants to earn a retum of 7%, but the bend being considered for purchase offers a coupon rate of 9%. Again, assume that the bond pays semianfual interest payments and has three years to maturity, If you round the bond's intrinsic value to the nearest whole dollar, then its intrinsic valdo of is its par value, so that the bond is trading at Given vour computation and conclusions, which of the following statements is true? When the coupon rate is oreater than Noah's required retum, the bond should trode at a discount. When the coupon rate is greater than Noah's required retum, the bond's intrinsic value wil be less than its par value. A bond should trade at a par when the coupon rate is greater than Noah's required return. When the coupon rate is greater than Noah's required return, the bond should trade at a premium