5) A bond offers a coupon that makes annual payments of $87.50. The bond was originally set to mature in 17 years. A quote for this bond, obtained 15 years after the original issue date, listed the market price as $1,070.00. What is the YTM for this bond? a) 14% b) 10% c) 7% d) 5% 6) When calculating Future Values, as the discount rate decreases the Future Value When calculating Present Values, as the discount rate increases the Present Value a) increases; increases b) decreases; decreases c) increases; decreases d) decreases; increases 7) Some of the advantages and/or disadvantages of stocks versus bonds are: a) Stocks can provide very high returns, but the risks of losing the entire investment are quite high and owners of stocks do not have voting rights; Bonds provide owners with the right to vote on corporate issues and also have the advantage of being considered an expense, which makes them tax deductible, but they only provide a limited return. b) Stocks provide owners with the right to vote on corporate issues and can also provide very high returns, but the risks of losing the entire investment are quite high; Bonds have the advantage of being considered an expense, which makes them tax deductible, but they only provide a limited return and their owners do not have voting rights