1. The calculation of the yield of a bond that is priced at par requires knowledge of the maturity of the bond. True or False

2. The higher the balloon payment at the end of the loan, the smaller is the total periodic (interest and principal) payment(s) paid in each period except for the last period of the loan. True or False

3. If the firm has no debt and therefore does not incur any interest expense, then the net income of the firm is equivalent to the cash flow of the firm. True or False.