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The YTMs of three $1,000 face value bonds that mature in 10 years and have the same level of risk are equal . Bond A

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The YTMs of three $1,000 face value bonds that mature in 10 years and have the same level of risk are equal . Bond A has an 8% annual coupon, Bond B has a 10% annual coupon, and Bond Chas a 12% annual coupon. Bond B sells at par. Assuming interest rates remain constant for the next 10 years, which of the following statements is true? Bond C sells at a premium (its price is greater than par), and its price is expected to increase over the next year. Bond A sells at a discount (its price is less than par), and its price is expected to increase over the next year. Over the next year, Bond A's price is expected to decrease, Bond B's price is expected to stay the same, and Bond C's price is expected to increase

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