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Suppose a 10-year, 1,000 bond with a 11% coupon rate and semiannual coupons is trading for a price of $1,015.15. a. What is the bond's

Suppose a 10-year, 1,000 bond with a 11% coupon rate and semiannual coupons is trading for a price of

$1,015.15.

a. What is the bond's yield to maturity (expressed as an APR with semiannual compounding)?

b. If the bond's yield to maturity changes to 8% APR, what will the bond's price be?

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