READ THE COMMENTS BELOW THIS MAY GET CONFUSING , I layed it out in order I hope I helped( in the drop down questions choose 1 anwser)

In the third paragrpah down starting with the word

"Interest-based return that a bond ( might or will) pay, and a bondholders required return reflects the return that a bondholder ( is obligated or would like ) to recieve from a given investment.

In the second bullet point starting with the word

The bonds intrinsic value will ( exceed or be less than or equal) its par vallue, and the bond will trade at premium.

In the third bullet point down starting with the last 4 words of the sentence

and the bond will trade at (discount or premium or par)

In the graph underneath variable name under the first drop down bar choose one of three choices

( Bondholders required return or BONDS ANNUAL COUPON PAYMENT OR BONDS SEMIANNUAL COUPON RATE)

Under the variable name look at the second drop down bar and choose 1 of the following

(Bonds annual coupon payment or semiannual coupon payment or bonds par value)

Now look under variable value under the first drop down bar the choose 1 of the following choices

(20 or 40 or 80 or 160)

Now under the third drop in the variable value section choose 1 of the following

(5.7525% or 4.0000% or 4.3750% or 7.1250%)

Now underneath the graph in the first parapah there is a blank in that blank there is two choices choose 1

(reasonable or unreasonable)

Now in the 2nd to last paragraph start with the word

then its intrinsic value of ( 1052 or 1265 or 843 or 738) (rounded to the nearest whole dollar) is ( greater than or less than or equal to) its par vallue, so thatthe bond is ( trading at a premiunn or trading at a discount or trading at par).

In the last question just choose which statement is true.

The process of bond valuation is based on the fundamental concept that the current price of a security can be determined by calculating the present value of the cash flows that the security will generate in the future There is a consistent and predictable relationship between a bond's coupon rate, its par value, a bondholder's required return, and the bond's resulting intrinsic value. Trading at a discount, trading at a premium, and trading at par refer to particular relationships between a bond's intrinsic value and its par value. These result from the relationship between a bond's coupon rate and a bondholder's required rate of return pay, and a bondholder's required return Remember, a bond's coupon rate partially determines the interest-based return that a bond reflects the return that a bondholder to receive from a given investment. The mathematics of bond valuation imply a predictable relationship between the bond's coupon rate, the bondholder's required return, the bond's par value, and its intrinsic value. These relationships can be summarized as follows: When the bond's coupon rate is equal to the bondholder's required return, the bond's intrinsic value will equal its par value, and the bond will trade at par . When the bond's coupon rate is greater to the bondholder's required return, the bond's intrinsic value will its par value, and the bond will trade at a premium . When the bond's coupon rate is less than the bondholder's required return, the bond's intrinsic value will be less than its par value, and the bond will trade at For example, assume Amelia wants to earn a return of 8.00% and is offered the opportunity to purchase a $1,000 par value bond that pays a 8.00% coupon rate (distributed semiannually) with three years remaining to maturity. The following formula can be used to compute the bond's intrinsic value: Intrinsic Value1+C)I + (1+C)i + (1+C)3 + +C) (1+ C)51+C)6 1+C)6 Complete the following table by identifying the appropriate corresponding variables used in the equation. Unknown Variable Name Variable Value $1,000 Semiannual required return Based on this equation and the data, it is equal to $1,000 to expect that Amelia's potential bond investment is currently exhibiting an intrinsic value Now, consider the situation in which Amelia wants to earn a return of 6.00%, but the bond being considered for purchase offers a coupon rate of 8.00%. Again, assume that the bond pays semiannual interest payments and has three years to maturity. If you round the bond's intrinsic value to the nearest whole dollar, then its intrinsic value of bond is (rounded to the nearest whole dollar) is its par value, so that the Given your computation and conclusions, which of the following statements is true? When the coupon rate is greater than Amelia's required return, the bond's intrinsic value will be less than its par value O A bond should trade at a par when the coupon rate is greater than Amelia's required returrn When the coupon rate is greater than Amelia's required return, the bond should trade at a premium O When the coupon rate is greater than Amelia's required return, the bond should trade at a discount