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Bond P is a premium bond with a coupon of 8.3 percent , a YTM...

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Finance

Bond P is a premium bond with a coupon of 8.3 percent , a YTM of6.64 percent, and 16 years to maturity. Bond D is a discount bondwith a coupon of 8.3 percent, a YTM of 9.64 percent, and also 16years to maturity. If interest rates remain unchanged, what is thedifference in the prices of these bonds 9 year from now? (i.e.,Price of Bond P - Price of Bond D) Note: Corporate bonds paycoupons twice a year.

(Input all amounts as positive values. Do not round intermediatecalculations. Round your answers to 2 decimal places.)

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