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1) If you looked at bond trading pages online or in newspaper and spot the bond price quotation for a $1,000 par value bond of "96.500" you would identify the actual dollar price of bond was:

i) $96.50
ii) $965.00
iii) $9,650.00
iv) $96,500.00
v) $1,000.00

2) All other things being identical the higher a bonds yield to maturity, the lower will be its price.

i)True
ii)False

3) Fundamental characteristic of all bonds is that both Yield to Maturity and Coupon Interest Rate can be expected to modify during life of bond as economic conditions and investors' expectations modify.

i)True
ii)False

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