Kebt corporation class semi bonds have a 12 year maturity, Ask an Expert

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Kebt Corporation Class Semi bonds have a 12 year maturity and a 9.75% coupon paid semiannually and those bonds sell at their $1000 par value. The firms Class Ann bonds have the same risk,maturity, nominal interest rate, and par value, but these bonds pay interest annually. Neither bond is callable. At what price should the annual payment bond sell?

A. $1003.47
B. 1042.82
C. 983.80
D. 993.64
E. 747.69

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Category:- Basic Finance
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