1)How much would an investor lose if she purchased a 30-year zero-coupon bond with a $ 1,000 par value and 10% yield to maturity, only to see market interest rates increase to 12% one year later?

2)Suppose you pay $9,600 for a $10,000 Treasury bill maturing in four months. What is the effective annual rate of return for this investment? This is not a TIPS bill, but inflation is 4.5%.

3) You purchased a 5-year annual interest coupon bond one year ago. Its coupon interest rate was 5% and its par value was $1,000. At the time you purchased the bond, the yield to maturity was 4%. If you sold the bond after receiving the first interest payment and the bond's yield to maturity had changed to 3%, your annual total rate of return on holding the bond for that year would have been approximately

Please show all the steps in detail. and how did you get each numder.

For problem 1 and 2 use the financial calculator. For example what is the PMT? and how did you get it?

Thank you