A 2 year bond has a semi-annual coupon rate of 4% per annum. What is its approximate semi-annual yield to maturity if its price is 101%? (a) 4% (b) 3% (c) 3.5% (d) 5% The 3 month simple (add-on) interest rate is 4%, while the price of a 3-month maturity zero coupon bond is 98%. (a) There is an arbitrage opportunity (b) There isn't an arbitrage opportunity (c) The zero coupon bond's price is too high (d) Not enough information is provided Given an rv X, let Y = -X/2. The correlation px,y between X, Y is (a) 1 (b) 1/2 (C) -1/2 (d) -1