2. a. Consider a bond issued at par. The annual coupon is 7 percent and frequency of coupon is semiannual. How would the YTM of this bond be reported in most of the European markets? b. The market price of a two-year bond with annual coupon is 105 percent of its nominal value. The annual coupon to be paid in exactly one year is 7 percent. Compute its i. YTM (European method), and ii. YTM (U.S. method). 2. a. Consider a bond issued at par. The annual coupon is 7 percent and frequency of coupon is semiannual. How would the YTM of this bond be reported in most of the European markets? b. The market price of a two-year bond with annual coupon is 105 percent of its nominal value. The annual coupon to be paid in exactly one year is 7 percent. Compute its i. YTM (European method), and ii. YTM (U.S. method)