An investor has two bonds in her portfolio, Bond C and Bond Z. Each bond matures in 4 years, has a face value of $1,000, and has a yield to maturity of 8.7%. Bond C pays a 10.5% annual coupon, while Bond Z is a zero coupon bond.
Assuming that the yield to maturity of each bond remains at 8.7% over the next 4 years, calculate the price of the bonds at each of the following years to maturity.
Do not round intermediate calculations. Round your answers to the nearest cent.Years to Maturity- 0,1,2,3,4/ Price of Bond C /Price of Bond Z.