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5 . If a semiannual bond with a face value of $ 1 , 0 0 0 has a 7 % annual coupon rate and

5. If a semiannual bond with a face value of $1,000 has a 7% annual coupon rate and a five-year maturity. The current price of the bond is approximate $1,133.55. Whats the annual yield-to-maturity on this bond? (6)
6. You want to buy a new car. You can make an initial payment of $2,500 and can afford monthly payments of at most $300. If the APR on auto loans is 6% and you finance the purchase over 60 months, what is the maximum price you can pay for the car? (6)
8. On the issue date, you bought a 15-year maturity, 8% semi-annual coupon bond. The bond then sold at YTM of 7%. Now, five years later, the similar bond sells at YTM of 6%. If you hold the bond now, what is your realized rate of return for the 5-year holding period? (7)

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