1. Consider a coupon bond purchased on the secondary market with annual coupon payments, a face value of $1,000,10 years until maturity, a coupon rate of 5%. If the current interest rate is 6%, what is the present value of the bond? 2. Suppose you purchase a new car and finance it with a $40,000 fixed payment loan with monthly payments at an interest rate of 7% compounded monthly. How much are your monthly payments? 3. Suppose you purchase a one-year federal government discount bond that pays $1,000 in ten years. If the current interest rate on five-year government bonds is 5.5%, what should be the price of the bond