5. An AAA-rated corporate bond with a 20-year maturity has a coupon rate of 4.25%. The bond has a face value of $1,000 and pays its coupons semi-annually. The next coupon is due in six months. The bond trades for $1,062.65 to yield 3.8%. For the corporation, if the next coupon is the first coupon payment, what are the remaining cash flows on the bond? A. $1,000.00 B. $1,062.65 C. $1,750.00 D. $1,787.35 E. $1,850.00

7. According to the textbook, which of the following statements is (are) correct? (x) The typical amount of the call premium is one year of coupon payments. (y) A 6 percent corporate coupon bond is callable in ten years for a call premium of one year of coupon payments. Assuming a par value of $1,000, the call premium is $60 if the issuer calls the bond. (z) A corporate bond with a 5.5 percent coupon rate is callable in four years for a call premium of one year of coupon payments. Assuming a par value of $1,000, the price paid to the bondholder if the issuer calls the bond is $1,055. A. (x), (y) and (z) B. (x) and (y) only C. (x) and (z) only D. (y) and (z) only E. (x) only

15. A 7.50% coupon municipal bond has 8 years left to maturity and has a price quote of 103.45. The bond can be called in 3 years. The call premium is one year of coupon payments. If interest payments are paid semi-annually and the bond has a par value of $5,000, what is the bond's current yield?