Assumed that Amanda decided to purchase a corporate bond that pays 7 percent coupon payment. The purchase price is RM1,000. After five years of the bond investment, comparable bonds are paying 8.5...

Assumed that Amanda decided to purchase a corporate bond that pays 7 percent coupon payment. The purchase price is RM1,000. After five years of the bond investment, comparable bonds are paying 8.5 percent. Calculate the approximate price for which she can sell her bond. Determine either the bond value is increasing or decreasing and justify.