Question: PLEASE I NEED IT ASAP 1) A bond has 12 years until maturity and a coupon rate of 8.2% payable semi-annually; and sells for $1,080.

PLEASE I NEED IT ASAP

1) A bond has 12 years until maturity and a coupon rate of 8.2% payable semi-annually; and sells for $1,080. Face value of the bond is $1,000. What is the capital gain yield if you keep the bond for one year? You can assume the market rate is not changing.

Multiple Choice

0.34%

0.23%

-0.34%

-0.15%

-0.23%

2)

Which statement is correct?

Multiple Choice

For premium bonds: Coupon rate > Current yield = YTM

For premium bonds: Coupon rate < Current yield < YTM

For par bonds: Coupon rate = Current yield > YTM

For discount bonds: YTM < Current yield > Coupon rate

For premium bonds: Coupon rate > Current yield > YTM

3)

Which of the following will have the lowest interest rate risk?

Multiple Choice

A 30-year bond with a 10 percent coupon.

It depends on current market rates.

A five-year bond with a 10 percent coupon.

A five-year, zero coupon bond.

A 30-year zero coupon bond.

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