I What are bonds? What is the financial system and how does it works? Primary market/ Secondary Market How does the rating of bond affect the yield? o Maturity Risk Inflation Explain the nominal rate formula O 1. Dover has bond with 3 years left to maturity, a coupon rate of 5.45%, paid semiannually and sells for $1113.26. What is the yield to maturity of this bond? 2. Dover has another bond that matures in 26 years, has a 5.375% coupon paid semiannually and has a yield of 3.883%. What is the price this bond