1. A management company has 10 percent coupon bonds on the market with fifteen (15) years left to maturity. The bonds make annual payments. If the bond currently sells for $1,200, what is its YTM? (Rounded to two decimal places).

a. American Airlines Corp. has bonds on the market with 10 years to maturity, a yield to maturity of 9 percent and a coupon rate of 9 percent. If these bonds make quarterly coupon payments, what is the current price of the bond? (Rounded to the nearest whole number)

b. Expert Security Inc. has 9 percent coupon bonds on the market with five (5) years left until maturity. These bonds make annual payments.

If the yield to maturity on the bond is 8 percent, what is the current price of the bond? (Rounded to the nearest whole number)?

c. What would be the price of the bond if the yield fell to 7 percent? (Rounded to the nearest whole number)?

d. What is the current yield of the bond at the yield to maturity is 7 percent? (Rounded to two decimal place