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Q2. A 3 years bond with an annual coupon rate of 6% has a face value of $100. The bond has a yearly interest payment,

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Q2. A 3 years bond with an annual coupon rate of 6% has a face value of $100. The bond has a yearly interest payment, calculate the market value of the bond. What will be the value of the bond if the yield to maturity is below (YTM=4%) or above (YTM=8%) coupon rate? (Use Table A-3 Present Value Interest Factors for One Dollar Discounted at k Percent for n Periods: PVIFK... Show your calculations step-by-step and interpret your findings)

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