Hi,

Kindly assist with the following:

1)

A $1,000 TIPS(Treasury Inflation-ProtectedSecurity) is currently selling for $914 and carries a coupon interest rate of 5.84 percent.

a. If you buy thisbond, how much will you receive for your first interestpayment, assuming no interest adjustment to principal during this timeperiod?

b. Ifthere's a 0.82 percent increase ininflation, what will be the new par value of thebond?

c. What is your new semiannual interestpayment?

d. What would the par value be atmaturity, assuming a 2.00 percent annual inflation rate andten-year maturityperiod?

2)

How much will a $48,900 EE savings bond cost when you initially purchaseit? Assuming the bond earns 2.09 percentannually, approximately how long will it take for the bond to reach its stated facevalue?