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1. The zero coupon bonds of JK Industries have a market price of $570.96, a face value of $1,000, and a yield to maturity of

1. The zero coupon bonds of JK Industries have a market price of $570.96, a face value of $1,000, and a yield to maturity of 9.8 percent. How many years is it until these bonds mature? Assume semiannual compounding.

2. Oil Wells offers 5.55 percent coupon bonds with semiannual payments and a yield to maturity of 4.94 percent. The bonds mature in seven years. What is the market price per bond if the face value is $1,000? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

3. A bond has a yield to maturity of 6.52 percent. If the inflation rate is 2.7 percent, what is the real rate of return on the bond?

4. World Travel has 7.4 percent, semiannual, coupon bonds outstanding with a current market price of $1,053.46, a par value of $1,000, and a yield to maturity of 6.72 percent. How many years is it until these bonds mature? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

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