Problem P13-8 (similar to) Question Help According to the figure below, as a bond approaches maturity the premium (or discount) reduces to more prove this by calculating the sales price with 7.5 and 2 years remaining to maturity for the following two bonds. Assume a constant yield to maturity of 8 percent A 10 year 11 percent annual coupon bond b. A 10 year, 6 percent annual coupon bond Click on the table icon to view the PVF table Click on the table icon to view the PVIFA table fied vle when om a. The sales price, PV, of a 10 year, 11 percent annual coupon bond, a yield to maturity of percent and with 7 years remaining to maturity s o und to the nearest cant) Bond value when required rate of return = 9% (premium bond) $1,100 Maturity Bond value when required rate of return = 12% $1,000 Marlet Value $900 $899 Bond value when required rate of retum = 15% (discount bond) $800 coupon bond, a yield to maturity of 8 percent and with 7 years remaining to maturity is $ . (Round to the ne (premium bond) $1,053 $1,100 Data Table (Round 6% 10% Compound Sum of $1 (PVIFA) 7% 8% 9% 2 1.8331.8081.783 1.759 5 4.212 4.100 3.993 3 .890 5.582 5.389 5.206 1 5.033 107.360 7.0246 .710 6.4186 1.736 3.791 4.868 .145 7 Print Done