4. (4 points) A bond is selling for $934.74. The coupon rate is 8%. It has ten-years until maturity, with semi-annual compounding. What is the yield-to-maturity (YTM)? Explain the reinvestment rate assumption. 5. (2 points) For the bond in problem 4, what are the capital-gains yield and the current-yield? 6. (4 points) For the bond in problem 4, assume that the re-investment/interest rate has changed to 10%. O Calculate the realized compound yield at a re-investment rate of 10%. If an investor wanted to maximize the rate of return, what would you advise the investor to do-sell or hold the bond? Why