Please write out all you work so that I can follow your problem-solving logic.

Question 1 (3 Parts) You just started work at a wealth management firm and your boss asks you to evaluate a 7-year bond with a face value of $1,000 that, according to the prospectus, you can purchase next month (01-February-2020) when it is initially issued. The bond is designed to provide a 5.9% yield-to- market (YTM) and makes annual 01 February coupon payments, with both the last coupon payment and the redemption scheduled for 01 February 2027. The underwriter has stated the issuer's intention to sell the bonds at face value (par) and your plan is purchase the bonds accordingly for $1,000 apiece, meaning the coupon and the YTM will be the same on the date of the February 1 sale. A. If the YTM is expected to remain constant, what is the minimum price you would accept to sell the bond on January 31, 2022, the day before you receive the 2nd coupon payment? OA. OB. $ 942.51 1,000.00 1,014.75 1,029.50 1,059.00 E. B. What is the duration stated in years on February 2, 2022, two days after the sale (i.e., the new buyer has already received the February 1, 2022 coupon payment)? (Hint: At this point, there are 5 years until maturity, so the duration must be less than or equal to that munt.) A. 00000 4.83 years 4.47 years 2.25 years 1.97 years 1.82 years C. What is the modified duration at that same time? 00000 4.22 years 4.13 years 3.97 years 3.88 years 3.42 years