Red Mountain, Inc. bonds have a face value of $1,000. The bonds carry an 11 percent coupon, pay interest annually, and mature in 13 years. What is the current price of these bonds if the yield to maturity is 10 percent? (choose the closest answer)

Select one:

a. $1,020.00

b. $1,118.27

c. $1,071.03

d. $994.56

e. $989.50

Lambert, Inc. bonds have a face value of $1,000. The bonds carry a 9 percent coupon, pay interestsemiannually, and mature in 10 years. What is the current price of these bonds if the yield to maturity is 8 percent? (Choose the closest answer)

Select one:

a. $1,020.15

b. $1,067.95

c. $710.36

d. $1,141.04

e. $705.14