Problem
Suppose that you have a bond with a face value of $200 and coupon amount of $10 that matures one year from now.
a. If the going interest rate is 3 percent, how much can you sell it for today?
b. If the going interest rate is 8 percent, how much can you sell it for today?
c. What does this illustrate about bond prices and interest rates?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.