1. A 6.05 percent coupon bond with 20 years left to maturity is offered for sale at $1,075.25. What yield to maturity is the bond offering? (Assume interest payments are semiannual.) (Round your answer to 2 decimal places.)
2. Which of the following securities has the highest priority with regard to earnings and assets of a firm?
a. Preferred stock
b. American depository receipts (ADRs)
c. Common stock
d. Foreign stocks
e. Corporate bonds