P6-29 (similar to) Question Help The following table summarizes yields to maturity on several 1-year, zero-coupon securities: Yield Security Treasury AAA Corporate BBB Corporate B Corporate 3.040% 3.519% 3.905% 4.724% a. What is the price (expressed as a percentage of the face value) of a 1-year, zero-coupon corporate bond with a AAA-rating and a face value of $1,000? b. What is the credit spread on AAA-rated corporate bonds? c. What is the credit spread on B-rated corporate bonds? d. How does the credit spread change with the bond rating? Why? Note: Assume annual compounding