QUESTION 8

A bond is trading for $102.50. It pays an 8% coupon rate. The par value is $100. Which of the following statements is least likely to be true?

		The bond currently offers a 6.5% yield
		The bond's price next year will be $103.20 if other items like yield and credit risk remain unchanged
		The bond has both interest rate risk and reinvestment risk

QUESTION 9

If the number of days in the coupon period is 180 and the number of days between the settlement date and the next coupon date is 50, then how many days of accrued interest are there?

		310
		180
		50
		130