What interest payments do bondholders receive each year, Financial Management

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What interest payments do bondholders receive each year

A General Power bond with a face value of $1,000 carries a coupon rate of 8.4%, has 9 years until maturity, and sells at a yield to maturity of 7.4%. (Assume annual interest payments.)

a. What interest payments do bondholders receive each year?

Interest payments $

b. At what price does the bond sell? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Price $

c. What will happen to the bond price if the yield to maturity falls to 6.4%? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Price will rise/fall by $

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