Question 1)

Mechanical Motors issued 19-year bonds 6 years ago at a coupon rate of 10.1 percent. The bonds make semiannual payments. These bonds currently sell for 104 percent of par value. What is the yield-to-maturity?

Question 2)

You just paid $710,000 for an annuity that will pay you and your heirs $46,000 a year forever. What rate of return are you earning on this policy?

Question 3)

You decide to purchase a zero-coupon bond for $700. The bond has a face value of $1,000 and matures in 5 years. What is the bond's YTM?