1. You are considering purchasing a bond that has a $1,000parvalue,5%coupon,paidannually,20yearsto maturity.Bonds with similar risk and maturity are now yielding 4%.What is the bond's current market value?

$2,000

$1,135.90

$1,136.78

$679.52

2. You are considering purchasing a bond that has a $1,000par value,5%coupon paidsemi-annually,20yearsto maturity.Bonds with similar risk and maturity are now yielding 4%.What is the bond's current market value?

$2,000

$1,135.90

$1,136.78

$679.52

3. You paid $873for a bond that paid a 6%coupon annually,had a $1,000face value and 15years to maturity.What is your yield to maturity?

7.43%

6%

No solution

5.74%

4. A 7% coupon,$1,000face value bond with 28 years to maturity is currently trading at $1,125.the bonis callable in 3 years at a call premium of one year's interest. What is the yield to call?

7%

4.67%

4.32%

6.06%