1. It is now January 1, 2017. What is the value of a 25 year, monthly coupon, $1,000 par value bond that was originally issued on July 1, 2010 with 11.60% coupon rate per annum, if the current required rate of return is 11%?

2. A bond has a current market price of $835, a maturity value of $1,000, and matures in 30 years. If coupons are paid semi-annually and the bond is priced to yield 11.5%, what is the bond's annual coupon rate?

3. A bond has a current price of $845.34, a maturity value of $1,000, and a coupon rate of 10% per annum. If coupons are paid quarterly and the bond is priced to yield 12% per year, what is the bond's term to maturity to the nearest year?

4. Suppose you hold a diversified portfolio consisting of an $8,500 investment in each of 25 different common stocks. The portfolio beta is equal to 1.39. You have decided to sell one of the stocks in your portfolio with a beta equal to 1.7 for $8,500 and to use that amount to buy another stock for your portfolio. Assume the new stock's beta is equal to 2.1. Calculate your portfolio's new beta.

5. Stocks A and B has the following distribution in Table 1: a. Calculate the expected rates of return for Stock A and Stock B. b. Calculate the standard deviations for Stock A and Stock B. c. Calculate the coefficients of variation for Stock A and Stock B

6. Suppose you manage a $4 million fund that consists of four stocks with the following investments in Table 2. If the market's required rate of return is 14% and the risk-free rate is 6%, what is the fund's required rate of return?