Mohsen Inc. 10-year bonds were issued fouryears ago, at a par value price of $1000. They carry an annual interest rate of 8%, and the interest paid out semi-annually. However, in the time since they were issued, interest rates have fallen such that similar bonds are now being issued with a 6% annual coupon (also paid out semi-annually).

Find the current price of the Mohsen bond, and also tell me if it is currently being sold at a premium or at a discount. show your calculations

HOST 2013: FINANCE HOMEWORK 2020 Due Monday, Oct. 19,2020, by midnight Name 1. Mohsen Inc. 10-year bonds were issued four years ago, at a par value price of $1000. They carry an annual interest rate of 8%, and the interest paid out semi-annually. However, in the time since they were issued, interest rates have fallen such that similar bonds are now being issued with a 6% annual coupon (also paid out semi- annually). Find the current price of the Mohsen bond, and also tell me if it is currently being sold at a premium or at a discount. Show your calculations