1. Union Local School District has a bond outstanding with a coupon rate of 3.6 percent paid semiannually and 17 years to maturity. The yield to maturity on this bond is 2.3 percent, and the bond has a par value of $10,000. What is the dollar price of the bond?

2. Uliana Company wants to issue new 15-year bonds for some much-needed expansion projects. The company currently has 6 percent coupon bonds on the market that sell for $1,030, make semiannual payments, and mature in 15 years. What coupon rate should the company set on its new bonds if it wants them to sell at par?