. If you use your financial (graphic) calculator, please indicate your inputs.

a) Johnson Motors bonds have 10 years remaining to maturity. Coupon interest is paid annually, the bonds have a $1,000 par value, and the coupon rate is 7 percent. The bonds have a yield to maturity of 8 percent. What is the current market price of these bonds?

b) BSW Corporation has a bond issue outstanding with an annual coupon rate of 7 percent paid semiannually and four years remaining until maturity. The par value of the bond is $1,000. Determine the fair present value of the bond if market conditions justify a 14 percent annual required rate of return, compounded semiannually.