Use the bond term's below to answer the question Maturity 8 years Coupon Rate 5% Face value $1,000 Annual Coupons YTM 6% Assuming the YTM remains constant throughout the bond's life, what is the bond's current yield between periods 4 and 5 ?

5.08%

5.18%

5.33%

4.93%

You plan on going to law school for 3 years starting in 4 years. The cost of tuition for the first year will be $40,000 The cost of tuition for the second year will be $41,600 The cost of tuition for the third year will be $43,264 How much would you have to invest today in an account that earns 3.00% APR compounded annually) to exactly pay for your tuition?

$104,521

$101,477

$110,887

$107,256

$107,657

Use the bond term's below to answer the question Maturity 6 years Coupon Rate 3% Face value $1,000 Annual Coupons When you buy the bond the interest rate is 5% Right after you buy the bond, the interest rate changes from 5.00% to 4.50% and remains there. What is the price effect in year 5 ?

$4.27

$4.91

$5.16

$3.88

$4.69