1. A 15-year corporate bond pays $40 interest every six months. What is the bond's price if the bond's promised YTM is 5.5 percent?
2. One year from today you must make a payment of $14,000. To prepare for this payment, you plan to make two equal quarterly deposits (at the end of Quarters 1 and 2) in a bank that pays 3% nominal interest compounded quarterly. How large must each of the two payments be? Round your answer to the nearest cent.