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The yields on one-year and two-year government zeros are 7.52% and 8.64 % respectively. What should be the price of a 9% coupon paying government

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The yields on one-year and two-year government zeros are 7.52% and 8.64 % respectively. What should be the price of a 9% coupon paying government bond with two years to maturity? Assume coupons are paid annually and face value of the bond is $1000. a. $1026.57 O b. $897.23 c. $1087.02 O d. $1102.23 e. $1007.23

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