11 A A Aao EEE 11 x x ADA 1 Normal 1 No Spac... Heading 1 Heading 2 Title Subtitle Subtle Em... Emphasis Find Replace Select Dictate Font Styles Editing voire Paragraph Eredentials are out of date. Please sign in as IR***@ma***.edu so we can verity your subscription E) 3-year, zero coupon bonds. Sign In 9) If Treasury bills are currently paying a nominal rate of 3.0500 percent and a real rate of 1.5135 percent what is the approximate rate of inflation? The exact rate of inflation? A) 1.5365 percent: 1.5560 percent B)-1.5365 percent: 1.5135 percent C) 1.5365 percent: 1.5136 percent D) 1.5135 percent; 1.5600 percent E) None of the above 10) A $1,000 face value bond currently has a yield to maturity of 6.03 percent. The bond matures in thirteen years and pays interest semiannually. The coupon rate is 6.25 percent. What is the current price of this bond? A) 5987.42 B) $980.02 C) $1.005.26 D) $1,019.63 E) $1,011.69 11) In the constant dividend growth model, which one of the following will increase the current value of a stock2 A) Decrease in the dividend growth rate B) Increase in the required return C) Increase in the capital gains vield Display Settings TL Focus