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Homework: Chapter 4 Homework Sa Score: 0 of 1 pt 25 of 25 1 complete HW Score: 7896, 19.5 of 25 pts P4-15 (similar to)

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Homework: Chapter 4 Homework Sa Score: 0 of 1 pt 25 of 25 1 complete HW Score: 7896, 19.5 of 25 pts P4-15 (similar to) Question Help Perpetuites The Canadian Government has once again decided to issue cobond with a newer ending interest syment and no maturity date) The bond will pay $40 interest each your cat the end of the year, but it will never return the princip. The current discount rate for Canadian government bonds is 1.8%. What should be consolbords for in the market? What if the interest rate should fall to 8.547 Rise to 10,557 Why does the price goue when Interest rateful? Why does the price go down when interest rates me the current discount rate for Canadian government bonds is 0.5%, what should this bond sell for in the market? $Round to the nearest cent)

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