An investor has two bonds in her portfolio bond c and bond


An investor has two bonds in her portfolio, Bond C and Bond Z. Each bond matures in 4 years, has a face value of $1,000, and has a yield to maturity of 8.3%. Bond C pays a 11% annual coupon, while Bond Z is a zero coupon bond. Assuming that the yield to maturity of each bond remains at 8.3% over the next 4 years, calculate the price of the bonds at each of the following years to maturity. Round your answer to the nearest cent. Years to Maturity Price of Bond C Price of Bond Z

Years to Maturity, Price of Bond C, Price of Bond Z

4 $ 1088.83 $ 726.92

3 $---- $ 787.25

2 $---- $ 852.60

1 $---- $ 923.36

0 $---- $ 1000

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Financial Management: An investor has two bonds in her portfolio bond c and bond
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