2. A $1,000 face-value bond issued by Harkins, Inc., a for profit Delaware corporation, has a 4% annual coupon rate and a current price of $1,008. Answer (a) and (b) below. a) Calculate the current yield to maturity. b) If the price of the bond is expected to increase to $1,025 next year what is (i) the expected rate of capital gain and (ii) the expected rate of return (pre-tax) if you sold the bond after one year? If you desire a product with an expected annual rate of return (pre- tax) of 5%, will you purchase the Harkins, Inc. bond