1.What is the relationship between the periodic interest rate, APR, frequency of compounding and EAR?

2How do current interest rates compare to those in the late 1970s-early 1980s and what accounts for the difference?

3 What does our author find to be the relative magnitude of the 4 components of historical nominal interest rates?

4.What do bond ratings represent and what is the relationship between those ratings, credit quality and required rates of return?

5.What are the 2 bond pricing situations that you could face?

6.How do you solve for a bond's current yield?

7.How do you solve for the YTM of a zero-coupon bond?

8.What is the process used to find the YTM of a coupon-paying bond and what key relationship from Chapter 3 is at the heart of this process?

9.What is the relationship between the bond price vs. par, capital gain or loss, and YTM vs. coupon rate?

10. EXCEL:Which Excel functions can be used to find bond prices and YTMs?