Suppose you buy a 9.2 percent coupon bond today for $1,110. The bond has 12 years to maturity.

a.	What rate of return do you expect to earn on your investment? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the "%" sign in your response.)

Rate of return

%

b.	Two years from now, the YTM on your bond has increased by 2 percent, and you decide to sell. What price will your bond sell for? (Do not round intermediate calculations. Round your answer to 2 decimal places. Omit the "$" sign in your response.)

Price

$

PLEASE EXPLAIN PART A IN DETAIL!!! NO EXCEL FORMULAS!!!!!