Question: PLEASE ANSWER ALL PARTS, WILL RATE! Question 1 4 pts 1. You can buy a 5% coupon AA rated 25 year bond. What price should

PLEASE ANSWER ALL PARTS, WILL RATE!

Question 1 4 pts 1. You can buy a 5% coupon AA rated 25 year bond. What price should you pay if the current market rate on AA, 25 year bonds is 3.5%? (nearest $1). O $1,215 $1,145 O $1,247 O $1,196 Question 2 4 pts 2. A preferred stock has a $100 par value and pays an 8% dividend. What is your rate of return if you buy this preferred stock for $95 per share? O 8.42% 09.12% 8% O.67%

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