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George Inc. just is offering a 1 0 - year bond at a price of $ 1 0 0 0 . 0 0 ( not

George Inc. just is offering a 10-year bond at a price of $1000.00(not necessarily the value). The bond has a coupon rate of 6% and pays the coupon annually. Similar bonds in the market offers a yield of 7% today. Should you buy the bonds at the offered price? (Round to the nearest dollar.)
a. Yes, the bond is worth $1,071.
b. No, the bond is only worth $930.
c. Yes, the bond is worth more than $1000.
d. No, the bond is only worth $820.
e. Additional information is needed.
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