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Consider the following information about Alpha Corporation: Current Stock Price ($) Stock Price in one year time ($) Probability (Pr) % 25% 50% 25% 35

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Consider the following information about Alpha Corporation: Current Stock Price ($) Stock Price in one year time ($) Probability (Pr) % 25% 50% 25% 35 25 20 25 The standard deviation of the return on Alpha Corporation is closest to: O A 54.39% OB. 88.507% OC. 21.79% O D.37.124% Question 2 Assume a 10-year coupon-bearing bond with a 2.5% coupon rate and a face value of 100. Coupon payments are made at the end of each year. The effective annual interest rate is 3.5%. What is the value of the bond at its issuance (i.e., at time t=0)? E91.47 O 108.53 O 91.68 O 84.56

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