Bonus Value. You have a bond that pays $ 100 ofannual interest, with a value of $ 1,000 and matures in 15 years.Your required rate of return is 12%. a. Calculate the value of thebonus b. How does the value change if your required rate of return:1. Increase to 15% 2. Decrease to 8% c. Assume that the bondmatures in 5 years instead of 15 years. Re-compute your answers inpart b.
