Answer the following without using excel:

1. If a $10,000 face value discount bond maturing in one year is selling for $8,000, then its yield to maturity is:

2. The duration of a ten-year, 10 percent coupon bond when the interest rate is 10 percent is 6.76 years. What happens to the price of the bond if the interest rate falls to 8 percent?:

3. The yield to maturity of a one-year, simple loan of $500 that requires an interest payment of $40 is:

4. The yield to maturity on a consol bond that pays $100 yearly and sells for $500 is:

5. With an interest rate of 10 percent, the present value of a security that pays $1,100 next year and $1,460 four years from now is approximately:

6. The duration of a $1,000 ten-year bond with a 10% coupon bond and an interest rate of 20% is approximately: