Q2: A corporate bond with a coupon rate of 9% pays interest semiannually and has a maturity date of May 28, 2030. The trade settles on March 20, 2023. The yield to maturity is 12%.

What is the flat (or clean) price of the bond (in percent of par) on the settlement date? Use Excel's PRICE() function. Dates must be entered with Excel's DATE() function.

Q3: The University of California has two bonds outstanding. Both issues have the same credit rating, a face value of $1,000, and a coupon rate of 3%. Coupons are paid twice a year. Bond A matures in 1 year, while bond B matures in 30 years.

The market interest rate for similar bonds is 7%. What is the price of bond A?

Q4: Fisher Corp. and Hunter Inc. issued the bonds below:

	Fisher bond	Hunter bond
Bond rating	AAA	A
Issue size	$150m	$600m
Coupon rate	4%	5%
Original time to maturity	15 years	20 years
Time to maturity	10 years	15 years
YTM	5.3%	6.6%

Which factors could explain the higher yield to maturity on the Hunter bond?

Check all that apply:

-Time to maturity

-Coupon rate

-Original time to maturity

-Bond rating

-Issue size

Q5: A bond has an annual coupon rate of 3.9%, a face value of $1,000, a price of $991.89, and matures in 10 years. What is the bond's YTM?

Q6: A GM and a Ford bond both have 4 years to maturity, a $1,000 par value, a BB rating, and pay interest semiannually. GM has a coupon rate of 6.9%, while Ford has a coupon rate of 5.2%. The GM bond trades at 93.71 (percent of par). What is the yield to maturity (YTM)?

Q7: A corporate bond pays interest twice a year and has 19 years to maturity, a face value of $1,000, and a coupon rate of 6.1%. The bond's current price is $1,417.58. It is callable starting 13 years from now (years to call) at a call price of $1,086. What is the bond's (annualized) yield to maturity?