Interest Rates and Bond Valuation

Given below are you information on five possible bond investments that pays interest on annual basis. Compute for the yield to maturity of each bond and rank the following:

1 as the best priority investment option and 5 as the least priority investment option.

1. Interest Rates and Bond Valuation (25 points) Given below are information on five possible bond investments that pays interest on an annual basis. Compute for the Yield to Maturity of each bond and rank the following - 1 as the best priority investment option and 5 as the least priority investment option. Par Value in Coupon Interest Years to Current Bond Yield to Maturity Rank $ Maturity Value in$ Ratesin% A 1,000.00 9 8 820.00 B 1,000.00 12 16 1,000.00 C 500.00 12 12 560.00 D 1,000.00 15 10 1,120.00 E 1,000.00 5 3 900.00