Relative to a long term bond, a short term bond has interest rate risk (or price risk) and reinvestment risk. BE CAREFUL-YOU LOSE 10% OF POSSIBLE CREDIT EVERY TIME YOU SUBMIT A WRONG ANSWER TO THIS QUESTION. Select one: a. same; same b. same; lower c. same:; higher Dd. higher, same e. lower same 1. higher; lower g lower, higher h. depends on how rich the investor is Check What is the price immediately after a coupon i coupon rate of 6.8 percent, and yiald to maturity of 4.4 percent? s paid on a $1000 par value bond with 19 annual coupon payments remaining. Answer Consider a bond (same as previous question) with $1000 par value, 19 annual coupon payments remaining, coupon rate of 6.8 percent, and yield to maturity of 4.4 percent. Suppose an annual coupon payment has just been paid. Calculate the capital gains yield over the next year if the yield to maturity remains unchanged at 4.4 percent. SUBMIT YOUR ANSWER IN DECIMAL FORM Answer: Check Consider a bond (same as previous question) with $1000 par value, 19 annual coupon payments remaining, coupon rate of 6.8 percent, and yield to maturity of 4.4 percent. Suppose an annual coupon payment has just been paid. Calculate the current yield over the next year SUBMIT YOUR ANSWER IN DECIMAL FORM Answer: Check