1) A U.S. Government 2-year T-Note has a face value of $1,000 and pays annual coupons of $65.The first coupon is due in one year. What is the correct price for the coupon bond today? Use the term structure of interest rates shown below.

Term Spot Rate 1-year 5.0% 2-years 8.0%

The correct price for the coupon bond today is $___(Round to the nearest cent.)

2)What is the price of a 5-year, 8.1% coupon rate,$1,000face value bond that pays interest quarterly if the yield to maturity on similar bonds is 11.7%?

The price of the bond is $__. (Round to the nearest cent.)

3)A Ford Motor Co. coupon bond has a coupon rate of 4.5%, a face value of $1,000, and pays annual coupons. The bond will mature in 4 years. The bond's yield-to-maturity is 6.7%. What is this bond's Macaulay Duration (MacD)?

MacD of the bond is __ years. (Round to two decimal places.)