Suppose a seven-year $1,000 bond with a 7.6% coupon rate and semiannual coupons is trading with a yield to maturity of 6.73% a. Is this bond currently trading at a discount, at par, or at a premium? Explain. b. If the yield to maturity of the bond rises to 7.42% (APR with semiannual compounding) what price will the bond trade for? a. Is this bond currently trading at a discount, at par, or at a premium? Explain. (Select the best choice below) UN 11 O A. Because the yield to maturity is greater than the coupon rate the bond is trading at a premium B. Because the yield to maturity is less than the coupon rate, the bond is trading at a premium OC. Because the yield to maturity is less than the coupon rate, the bond is trading at a discount OD. Because the yield to maturity is greater than the coupon rate the bond is trading at par b. If the yield to matunity of the bond rises to 742% (APR with semiannual compounding), what price will the bond trade for? The new price of the bond is $(Round to the nearest cent) 33 SI (533.49 d (S) W 23-b... Faled Click to select your answer(s). 304 PM Desktop do ENG o S