Malcom bought a 6.5% bond price at 85% of par that had 30 years until it matures. 1 year later the yield to maturity on this bond is 9.4%. What return did he earn on this bond?

Question 7 options:

	-4.32%
	-8.32%
	-13.32%
	-9.32%
	-10.32%

The risk-free rate of return is 3.5 percent and the market risk premium is 6.25 percent. What is the expected rate of return on a stock with a beta of .91?

Question 8 options:

	9.19%
	6.00%
	5.69%
	5.94%
	9.44%