1. The resolution trust corporation was created to?
A) Regulate the banking system B) Restore Solvency C) Consolidate failed thrift intuitions D) All of the above
2. You have purchased a 10% coupon bond for $1040. What will happen to the bond ‘s price if the market interest rates rise and why?
3. The yield to maturity (rate of interest) of a $1000 bond with a 7% coupon rate, semiannual coupons, and two years to maturity is 7.6% APR , compounded semiannually. What must be its price ?
Please show work