G Requirements 1 1. Compute the price of the following 8% bonds of City Telecom. a. $400,000 issued at 77.25 b. $400,000 issued at 105.25 c. $400,000 issued at 96.25 d. $400,000 issued at 102.25 Which bond will City Telecom have to pay the most to retire at maturity? Explain your answer. 2. Bond prices depend on the market rate of interest, stated rate of interest, and time. Read the requirements Requirement 1, Compute the price of the following 8% bonds of City Telecom a. The price of the $400,000 bond issued at 77.25 is $ b. The price of the $400,000 bond issued at 105.25 is S c. The price of the $400,000 bond issued at 96.25 is $ c. The price of the $400,000 bond issued at 102.25 is S Requirement 2. Which bond will City Telecom have to pay the most to retire at maturity? Explain your answer. Bond a. because it was issued at the lowest price. Bond b. because it was issued at the highest price. Bond c. because it was issued at a discount. Bond d. because it was issued at a premium. City Telecom will pay $400,000 at maturity for all four of the bonds. The bonds all have the same maturity value