P9-18 (similar to) Question Help (Related to Checkpoint 9.3) (Bond valuation relationships) You own a bond that pays $100 in annual interest, with a $1.000 par value. It matures in 20 years The market's required yield to maturity on a comparable-risk bond is 12 percent. a. Calculate the value of the bond. b. How does the value change if the yield to maturity on a comparable-risk bond () increases to 16 percent or (l) decreases to 7 percent? c. Explain the implications of your answers in part b as they relate to interest-rate risk, premium bonds, and discount bonds d. Assume that the bond matures in 5 years instead of 20 years and recalculate your answers in parts a and b. e. Explain the implications of your answers in part d as they relate to interest-rate risk, premium bonds, and discount bonds. a. What is the value of the bond if the market's required yield to maturity on a comparable-risk bond is 12 percent? (Round to the nearest cent) Enter your answer in the answer box and then click Check Answer CA CA parts 8 remaining W A MacBook Air