1. Assume there is a 12-year, 9.5% semiannual coupon bond, with a par value of $1,000. The bond sells for $1,152.

What is the bonds yield to maturity (YTM)?

What is the bonds current yield?

2.A zero-coupon bond with a par value of $1,000 has 15 years to maturity. If the YTM is 6.2%, what is the current price this bond?

3.

The Doggy Wash pays a constant annual dividend of $1.30 per share (growth rate (g)=0). How much are you willing to pay for one share if you require a 12 percent rate of return?