1. GTF Corporation has 5 percent coupon bonds on the market with a par value of $1,000 and 10 years left to maturity. The bonds make annual interest payments. If the market interest rate on these bonds is 6 percent, what is the current bond price?

2. MTV Corporation has 10 percent coupon bonds on the market with a par value of $1,000 and 8 years left to maturity. The bonds make semi-annual interest payments. If the market interest rate on these bonds is 8 percent, what is the current bond price?

3. Jones Corporation has zero coupon bonds on the market with a par value of $1,000 and 10 years left to maturity. If the market interest rate on these bonds is 6 percent, what is the current bond price? (Use the semi-annual interest payment model.)

4. Wilson Corporation has 6 percent coupon bonds on the market with a par of $1,000 and 5 years left to maturity. The bonds make annual interest payments. If these bonds currently sell for $900, what is its yield to maturity (YTM)?

5. Linville Corporation issued 12-year, par $1,000 bonds ten years ago at a coupon rate of 7 percent. The bonds make semi-annual payments. If these bonds currently sell for 95 percent of par value, what is its yield to maturity (YTM)?

6. Pecos Company has just issued a 10-year, 8 percent coupon rate, $1,000- par bond that pays interest semiannually. Four years later, if the going rate of interest on the bond falls to 6 percent, what is the value of the bond?

7. Karen just bought a 10-year, 6% coupon bond with $1,000 par for $805. If she sells this bond two years later for $920, what is her realized yield in year 3 (with semi-annual interests)?