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Suppose a 2 year bond with F C 1000, and a nominal annual coupon rate convertible semian nually of 10% is purchased at a price

Suppose a 2 year bond with F C 1000, and a nominal annual coupon rate convertible semian nually of 10% is purchased at a price to yield 8% convertible semiannually (a) Calculate the price of the bond using the basic formula, and the premium/discount formula. (b) Calculate the BV after 1 year (2 terms). (c) Calculate the amount of interest in the third coupon. (d) Calculate the amount of amortization of premium in the third coupon

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