• Suppose you can buy a U.S. Treasury bond that makes no payments until the bond matures 10 years from now, at which time it will pay you $1,000. What interest rate would you earn if you bought this bond for $585.43? (5.5%) What rate would you earn if you could buy the bond for $550? (6.16%) For $600? (5.24%)

• Microsoft earned $0.33 per share in 1997. Fourteen years later, in 2011, it earned $2.75. What was the growth rate in Microsofts earnings per share (EPS) over the 14-year period? (16.35%) If EPS in 2011 had been $2.00 rather than $2.75, what would the growth rate have been? (13.73%)