1. Counselling Co. has 6.75% coupon bonds outstanding with a current market price of $765.24. The yield to maturity is 10.60% and the face value is $1,000. Interest is paid semiannually. How many years is it until these bonds mature?

options:

	10.64 years
	10.06 years

2. You are considering the following two mutually exclusive projects. The required rate of return is 12% for project A and 11.75% for project B. You should accept Project ___ because its NPV is _____ greater than that of the other project.

Year	Project A	Project B
0	-$54,000	-$78,900
1	$36,300	$35,700
2	$24,600	$62,800
3	$9,500	$0

options:

	A; $1,901.18
	A; $1,449.26
	B; $966.61
	B; $1,821.02
	B; $1,324.08