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SOA - 22. You have decided to invest in Bond X, an n-year bond with semi-annual coupons and the following characteristics: - Par value is

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SOA - 22. You have decided to invest in Bond X, an n-year bond with semi-annual coupons and the following characteristics: - Par value is 1000. - The ratio of the semi-annual coupon rate to the desired semi-annual yield rate is 1.03125 . - The present value of the redemption value is 381.50 . Given vn=0.5889, what is the price of bond X ? (A) 1019 (B) 1029 (C) 1050 (D) 1055 (E) 1072

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