13. Marcy wants to buy a new car in one year.She currently has $1,500 in the bank. Marcy plans to save $250 a month towards the car.How much will Marcy have for a down payment assuming her bank pays 6% compounded monthly?

a. $4,584

b. $3,084

c. $4,217

d. $4,676

14.A bond with a face value of $1,000 has annual coupon payments of $100 and was issued 7 years ago. The bond currently sells for a premium and has 8 years left to maturity. This bond's ____ must be less than 10%.

I. yield to maturity

II. current yield

III. coupon rate

a. I only

b. II only

c. III only

d. II and III only

e. I and II only

17. J&J Manufacturing issued a bond with a $1,000 par value. The bond has a coupon rate of 7% and makes payments semiannually. If the bond has 30 years remaining and the annual market interest rate is 9.4%, what will the bond sell for today?

a. $760.91

b. $861.29

c. $937.42

d. $1,000.00

e. $1,025.32