Hi, Could someone help me with this problem?

Hi,

Could someone help me with this problem?

One year ago, an investor bought a 15-year $1,000 face-value bond that has an annual coupon rate of 6%, and interest payments are paid semi-annually. The yield to maturity was 8.3% when the investor bought the bond, but the yield to maturity is 9.2% today.

How much has the price of the bond decreased since the date of purchase?

I tried to find the amount of the first bond and then the second to find the difference but I’m not sure this is the correct way to approach this problem.

N-30

I-8.3/2=

FV- 1000

PMT- 60

Solve PV= 1314.156

N-30 (unsure time that has gone by in problem)

I- 9.2/2=4.6

FV-1000

PMT- 60

Solve PV= 1226.386

1314.156-1226.386=87.770

What am I missing? This doesn’t seem correct.

Thank you.

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