2. Answer the following finance questions.

a. Consider a zero-coupon bond with a $100 face value maturing in 5 years. What is the yield to maturity of this bond if it is currently trading at $72? Answer in percent, rounded to one decimal place.

b. What is the value of a ten-year 6% annual coupon bond with face value of $1,000, assuming yield-to-maturity of 5%. Round to the nearest cent.

c. What is the value of a 20-year 4% coupon bond with semi-annual coupons, $1,000 face value, and a yield-to-maturity of 3.6%? Round to the nearest penny.

d. A 7-year 5% annual coupon bond with face value of $1,000 is trading for $1,067. What is its yield to maturity? Round to the tenth of a percent (e.g., 5.24% = 5.2). [Use Excel or a financial calculator. Hint: Don't forget to enter the price of the bond (PV) as a negative number. Make sure to set Excel or your calculator to show sufficient decimal places.]