Six years ago, ABC Community Hospital issued 20-year municipal bonds with a 7 percentannual coupon rate. The bonds were called today for a $70 call premium--that is, bondholdersreceived $1,070 for each bond. I need the realized rate of return for those investors who boughtthe bonds for $1,000 when they were issued. Please show work.

Assume that $10,000 was invested in the stock of General Medical Corporation with the intentionof selling after one year. The stock pays no dividends, so the entire return will be based on theprice of the stock when sold. The opportunity cost of capital on the stock is 10 percent.

a. To begin, assume that the stock sale nets $11,500. I need the dollar return on the stockinvestment. I need the rate of return.

b. Assume that the stock price falls and the net is only $9,500 when the stock is sold. I need the dollar return and rate of return.

c. Assume that the stock is held for two years. Now, I need the dollar return and rate of return.