1. Thatcher Corporation's bonds will mature in 10 years. The bonds have a face value of $1,000 and an 8% coupon rate, paid semiannually. The price of the bonds is $1,100. The bonds are callable in 5 years at a call price of $1,050. What's the yield to maturity?

A) 6.62% B) 5.78% C) 6.75% D) 3.31% E) 3.41%

2. The current yield to maturity (YTM) of a 30-year coupon bond with $1,000 par value, 7.5% coupon rate and semi-annual payment is 3.75%. Let’s assume that in 5 years, the YTM on this increases to 5.01%. What will the price be for this bond in 5 years?

3. How can the Future value, and Time value help a company?

4. The last biweekly payroll of Walker Manufacturing was $83,145 for 69 employees. Of the total, none was for payments to employees in excess of the $7,000 wage base. What were the total FUTA and SUTA taxes for the payroll? The company's SUTA rate is 5.4% and its FUTA rate is 6% less the 5.4% SUTA credit.