Q5. According to Descartes rule of signs, determine the maximum number of i* values for the net cash flow series with the following signs:

a) +++---+++

b) +++++-----

c) ++--++--++--

d) +++++-----+++++-

The greatest number of i * values for the net cash flow series is

a) .......?

b) ........?

c) .......?

d) ........? Q6

A mortgage bond issued by Automation Engineering is for sale for $8,900. The bond has a face value of $10,000 with a coupon rate of 10% per year, payable monthly. What rate of return will be realized if the purchaser holds the bond to maturity 10 years from now?

The rate of return will be %...... per year.