1. Consider a $1,000 face value, zero coupon bond with 20 years to maturity. If the YTM is 6%, what is the price of the bond today?

Group of answer choices

a. $97.22

b. $1,000.00

c. $311.80

d. $3,207.14

2. The following table summarizes yields of various default-free, zero-coupon, $100 face value bonds:

Maturity	YTM
1 year	4.4059%
2 years	4.6848%
3 years	4.8843%
4 years	5.0704%
5 years	5.3663%

Use this information to answer the following two questions.

a. Given the zero coupon yields above, what is the arbitrage free, price of a $10 annual coupon (paid annually), 5 year maturity, $100 face value bond?

Group of answer choices

a. $100.00

b. $122.23

c. $120.28

d. $119.86

b. Given the zero coupon yields above, what is the arbitrage free, annual YTM of a $10 annual coupon (paid annually), 5 year maturity, $100 face value bond?

Group of answer choices

5.3663%

5.2806%

4.8823%

10.000%