A floating lien, chattel mortgage, or terminal warehouse receipt ...

[lak]

A floating lien, chattel mortgage, or terminal warehouse receipt have which of the following in
  common?
 
  A) They are all unsecured forms of financing.
  B) They have nothing in common.
  C) They all use inventory to secure a loan.
  D) They all pledge accounts receivables as security.

Question 2

Rogue Outfitters Inc. has outstanding 1,000 face value 12 coupon bonds that make semiannual payments, and have 8 years remaining to maturity. If the current price for these bonds is 1,274.35, what is the annualized yield to maturity?
 
  A) 7.81
  B) 7.40
  C) 6.12
  D) 6.00

[pallen55]

Answer to Question 1

C

Answer to Question 2

Answer: B
Explanation: B) The answer is found through an iterative (trial and error) process using the bond pricing formula.
Bond Price = PMT  + ;
MODE = END, P/Y = 2, C/Y = 2
INPUT 16 ? -1,274.35 60 1,000
KEY N I/Y PV PMT FV
CPT 7.40

[lak]

Thank you

[pallen55]

Happy to help you