QUESTION 2 Compute the intrinsic value of an 18% coupon, a 4-year maturity bond whose principal will be repaid in equal installments after a non-payment period of 2 years. The face value is 16. The market interest rate is forecast as 19% for the 1st year, 18% for the 2nd year, and 17% for the 3rd and 4th years. QUESTION 3. Compute the yield to maturity of a 19% coupon purchased for a 9706 three-year bond whose principal will be repaid in equal installments after a period of non-payment. The face value is 16 (Try 19 % first). A