Jake plans to borrow $150,000 at 6.50% over 30 years to purchase a house.

Calculate Jake's monthly mortgage payment (While entering your answers, use commas when necessary, but do NOT use dollar signs.)

Answer: _____________________

Brown Industries has 20-year bonds that pay a 12.0% semi-annual coupon. If the market requires a 13.5% return on the bonds, what is the current price of a Brown bond?

A. $897.04

B. $488.58

C. $970.25

D. $1,112.85

Bestway Industries Preferred Stock pays a $32 annual dividend. If the current market price of a share of Bestway Preferred is $390, what is the rate of return on the stock?

(Round your answer 2 decimal place)

Answer: _______________________