Assume that you decides to buy a house for $187,600. You will pay 20% down payment by your saving and fund the remaining amount (i.e., 80% of the house price) using a mortgage loan. The bank offers 30-year mortgage with monthly interest 0.5313%. You will pay backthe loan in equal amount at the end of each month for the next 30 years. (In other words, just like real-world practice, you will pay back the loan using equal-amount monthly payments). How much is your monthly payment for this mortgage loan?

A) 863

B) 936

C) 1,021

D) 1,121

E) 1,211

Kodak has a bond with 10 year until maturity, a coupon rate of 12%, and selling for $1,200. This bond pays coupon payment annually. What is the yield to maturity of this bond?

A) 6.1%.

B) 7.1%.

C) 8.9%.

D) 9.9%.

E) 12%.