7. When the market rate of interest increases, the bond value will _______ if you want to sell.

a. Increase

b. Decrease

c. Remain the same

d. Not enough information

8. A bond with a $1,000 Face Value, a 5% interest rate, a maturity date of 15 years and currently selling for $953 would give you an expected return of:

a. 5.47%

b. $1,161

c. 5.00%

d. $953

e. None of the above