Refer to the table below and calculate both the real and nominal rates of return on the TIPS bond in the second and third years. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Principal and Interest Payments for a Treasury Inflation Protected Security
	Time	Inflation in Year Just Ended			Par Value			Coupon Payment			+	Principal Repayment			=	Total Payment
	0				$	1,000.00
	1		1	%		1,010.00		$	50.50				0			$	50.50
	2		2			1,030.20			51.51				0				51.51
	3		1			1,040.50			52.03			$	1,040.50				1,092.53

Suppose that todays date is April 15. A bond with a 9% coupon paid semiannually every January 15 and July 15 is quoted as selling at an ask price of 1,015.000. If you buy the bond from a dealer today, what price will you pay for it? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

A newly issued 20-year maturity, zero-coupon bond is issued with a yield to maturity of 8.5% and face value $1,000. Find the imputed interest income in the first, second, and last year of the bond's life. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

Masters Corp. issues two bonds with 18-year maturities. Both bonds are callable at $1,075. The first bond is issued at a deep discount with a coupon rate of 6% to yield 11.3%. The second bond is issued at par value with a coupon rate of 12.50%