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Question 2 4 pts Suppose that you purchased a Baa rated $1000 annual coupon bond with an 7.7% coupon rate and a 15-year maturity at

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Question 2 4 pts Suppose that you purchased a Baa rated $1000 annual coupon bond with an 7.7% coupon rate and a 15-year maturity at par value. The current rate on 15-year US treasuries is 3%. Two years later, you look in the newspaper, and find that the yield on comparable debt is 11.772%, how much is the bond currently worth? Suppose that you purchased a Ba rated $1000 annual coupon bond with an 10.2% coupon rate and a 12-year maturity at par value. The current rate on 12-year US treasuries is 3%. Two years later, you sell the bond, and for a yield of 9.437%, what was your capital gain (+) or capital loss (-) in dollars and cents? (make your answer positive for a gain, negative for a loss)

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