The White Pony Corporation has $1,000 face value bonds issued with a 7.0% coupon. They mature in 6 years and call for semi-annual payments and currently have a yield to maturity of 5.5%. What will happen to the price of the bond if the market interest rate suddenly decreases to 4%? The bond price will increase but still trade at a discount. The bond price will increase and trade at a premium The bond price will decrease but still trade at a premium The bond price will decrease and trade at a discount The bond price will remain unchanged Smith Company has $1,000 face value bonds currently sell for $1150. They have a 10% coupon rate. What is the current yield on these bonds? 4.58% 5.00% 5.18% 8.70% 96.5% Bonds issued by Cyberdyne Systems Corporation bear a 6.75% coupon, payable semiannually. The bonds mature in 18 years and have a $1,000 face value. Currently the bonds sell for $950. What is the yield to maturity? 3.25% 4.96% 8.10% 6.18% 7.25% Gringotts Bank offers 4.5 percent coupon bonds with semiannual payments and a yield to maturity of 9.41 percent. The bonds mature in 8 years. What is the market price per bond if the face value is $1,000? $728.25 $791.47 $796.48 $802.60