a) 2 year monthly pay annuity immediate whose payments grow geometrically

at rate R per period. Her initial payment is $100.00 and the nominal annual interest rate is 9.20%

compounded annually. The future value of her annuity is $2998.39. What is R?

A: 1.25320%

B: 1.21705%

C: 1.20500%

D: 1.14475%

E: 1.26525%

b) $1139.75 for a 4 year bond with a 2.00% coupon rate. The current interest

rate is 7.60% compounded annually. What is the face value of the bond?

A: $1300.00

B: $1700.00

C: $1400.00

D: $1500.00

E: $1600.00

c) owns a bond with a coupon rate of 1.00% and a face value of $90000.

If the current interest rate is 8.20% compounded quarterly and the price of the bond is $72896.37, how many years until

the bond matures?

A: 3.0

B: 1.0

C: 1.5

D: 2.5

E: 2.0