1. The Nickelodeon Manufacturing Co. has a series of $1000 par value bonds outstanding. Each bond pays interest semi-annually and carries an annual coupon rate of 6%. The bonds are due in four years.If the required rate of return on bonds is 10%, what is the current price of the bonds with 4 years to maturity?
2. Fullerton Company's bonds are currently selling for $1,200.00 per $1000 par-value bond. The bonds have a 10% coupon rate and will mature in 10 years. What is the approximate yield to maturity?