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Robert Campbell and Carol Morris are senior vice-presidents of the Co-Op Investment Company of Virginia. They are co-directors of the company's pension fund management division,

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Robert Campbell and Carol Morris are senior vice-presidents of the Co-Op Investment Company of Virginia. They are co-directors of the company's pension fund management division, with Campbell having responsibility for fixed income securities (primarily bonds) and Morris being responsible for equity investments (primarily common stocks). A major new client, the California League of Manufacturers, has requested that Co-op present an investment seminar to the CFOs of the represented companies. Campbell and Morris, who will make the actual presentation, asked you to help them by answering the following questions: .a.What are the key features of a bond? . b. How do you determine the value of a bond? .c.What is the value of a one-year, $1,000 par value bond with a 10 percent annual coupon if its required rate of return is 10 percent? What is the value of a similar 10- year bond

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