What is the current price of a 1,000 par value bond maturing in ...

[hubes95]

What is the current price of a 1,000 par value bond maturing in 12 years with a coupon rate of 14 percent, paid semiannually, that has a YTM of 13 percent?
 
  A) 604
  B) 1,090
  C) 1,060
  D) 1,073

Question 2

When home prices are falling, we would expect a(n) ________.
 
  A) high mortgage default rates
  B) low mortgage default rates
  C) unchanged mortgage default rates
  D) higher percentage of owner home equity

[kiamars2010]

Answer to Question 1

C

Answer to Question 2

A

[hubes95]

Excellent

[cpetit11]

TYSM