Assume the average return on high yield bonds was 15.6% over the past 50 years. If the average return on Treasury bills was 3.1% over that period, what is the historical risk premium for high yield bonds?

Question 15 options:

	11.50%
	9.50%
	12.50%
	10.50%
	8.50%

Amalgamted Industries' bonds mature 25 years from today and have par value of $1,000. The bonds have a YTM of 11.65% and a coupon rate of 11.85%. Assuming the bonds pay interest annually, how much should these bonds sell for?

Question 16 options:

	$1,117.68
	$955.11
	$1,087.20
	$985.59
	$1,016.08