Question:

1. Jared buys a $12666 par value bond with monthly interest payments. If the bond's coupon rate is 4.1% and the current yield is 6.7%, how much did Jared spend on the bond?

Round your answer to the nearest dollar (whole number).

2. Karen spends $13666 on a bond with monthly interest payments. If the bond's coupon rate is 6.6% and the current yield is 5.4%, what is the bond's par value?

Round your answer to the nearest dollar (whole number).

3. Pat purchases a $10868 par value bond for $9744. If the coupon rate is 7.2% and interest payments are made monthly, what isPat's current yield?

Round your answer to the nearest tenth of a percent (tenth place).

4. You gota job for a company with a starting annual salary of $54652. Your contract stipulates that your salary will increase by 1.1% after each year on the job (so, for example, during your second year on the job your annual salary was 1.1% more than $54652).

You also decided to savefor retirement by depositing $8594 into a retirement account every year.

Suppose that11 years have elapsed.What percent of your yearly salary will you beyou depositing into your retirement account the following year?

Round your answer to the nearest tenth of a percent (tenth place).