1. .A $1000 bond pays interest semi-annually at j2 = 10% p.a., and is redeemable at par at the end of 10 years. The purchase price of the bond to yield an investor 8% p.a. compounded semi-annually is: A. $1135.90 B. $679.52 C. $1000.00 D. $798.70 E. $1134.20

2..A $1000 coupon bond is redeemable at par at the end of 10 years. The purchase price of the bond is $950 and yields an investor 8% p.a. compounded semiannually. Calculate the semi-annual coupon payment? A. $40.00 B. $72.55 C. $36.32 D. $50.00 E. $80.00

3.A coupon bond is purchased for $1037.69 with the maturity period of 10 years. The semi-annual coupon payment is $50. If the desired rate of return (yield rate) is j2 = 10% p.a., then the face value of the bond is: A. $1000.00 B. $1097.76 C. $2583.94 D. $1100.00 E. $2691.50

4.A coupon bond with a face value of $1000 is purchased for $1000 with the maturity period of 10 years. If the desired rate of return (yield rate) is j2 = 10% p.a., then the semi-annual coupon rate is: A. 5.00% B. 10.00% C. 9.76% D. 4.88% E. 4.94%

5.A coupon bond with a face value of $1000 is purchased for $1050 with the maturity period of 10 years. The semi-annual coupon rate is j2 = 10% p.a. The desired semiannual compounding yield rate to maturity is: A. 10.00% B. 5.00% C. 9.23% D. 4.94% E. 4.62%

6.A company issues a 10-year $1000 bond with coupons at j2 = 6%, and redeemable at 105, at the end of 5 years. Determine the purchase price that will guarantee an investor a return of j2 = 5% p.a. A. $958.42 B. $1043.76 C. $928.94 D. $1078.39 E. $1000.00