1. Sisyphean Company owns a bond with a face value of $1000. maturity in 15 years. The bond certificate is the coupon rate specified for this bond is
8% and the coupon payments are made semi-annually. Assuming this bond is trading at $1112, calculate this bond's YTM.

2. Wyatt Oil is considering drilling a new oil well, which is expected to produce the same amount of oil initially. 10 million barrels per year. Wyatt has a long-term contract that allows them to sell oil at an affordable price. $2.50 profit per barrel. The initial cost of the drilling rig is $175 million. If the oil rate is from the rig, the output is reduced by 3% per year and the discount rate is 9% per year, then what will be the NPV of this new oil well?