Calculate the price of a 10 percent coupon (annual coupons,
$1,000 face value 20-year bond if the appropriate discount rate is
3 percent. Show your return if you hold this bond for three years
and discount rates don’t change.
Calculate the price of a zero coupon, $1,000 face value, 5-year
bond if the appropriate annual discount rate is 12 percent.
Calculate your total return if you hold this bond for three years
and the discount rate does not change.