Syarikat Debunga Berhad is planning to open at least five boutique stores in several newly opened shopping malls in Petaling Jaya. It issued a five$-$year, zero$-$coupon bond with a face value of RM$1,000$ at a price of RM$650.$ You have purchased this bond and intend to hold it until maturity.

From the above information, you are required to answer the following questions.

a$.$ Determine the yield to maturity of this bond.

$(2$ Marks$)$

b$.$ Compute the expected return on your investment if the risk for default is zero.

$(2$ Marks$)$

c$.$ Compute the expected return if the probability of default is $100\%$ and you will only recover $90\%$ of the face value.

$(2$ Marks$)$

d$.$ Based on your computation in part $($b$)$ and $($c$),$ interpret your findings.

$(4$ Marks$)$