1. A bond is available for purchase at a current market price of $863.73. The coupon rate is 8% payable annually; the yield to maturity is 10%. If the par value is $1,000, how many interest payments remain until maturity? (Be sure to indicate your inputs to the financial calculator)

N I/YR PV PMT FV

2. Your broker has callable bonds available for sale.These bonds may be called in five years at a price of $1,060. The coupon rate is 6.5% and interest is paid annually. The bond currently sells for $1,090.What is its yield to call?

N I/YR PV PMT FV

Yield to Call=