P4-27) A corporate bonds price is listed at 102.801. It matures in three years, has a coupon rate of 5%, and pays interest semiannually. What is the bonds yield to maturity?

ASSUME THAT THE PAR VALUE = $1,000. The bonds yield to maturity is A. 2% B. 4% C. 6% D. 8%

P4-29) A one-year treasury security offers a 4% yield to maturity (YTM). A two-year treasury security offers a 4.25% YTM. According to expectations theory, what is the expected interest rate on a one-year security next year?

According to the expectations theory, the expected interest rate on a one year- security next year is A. 4% B. 4.25% C. 4.5% D. 4.75%