5
Microhard has issued a bond with the following characteristics:
Par: $1,000
Time to maturity: 9 years
Coupon rate: 12 percent
Semiannual payments
Calculate the price of this bond if the YTM is (Do not round intermediate calculations
and round your answers to 2 decimal places, e.g., 32.16.)
a. 12 percent
b. 14 percent
c. 10 percent