1. A 9.9% coupon bearing bond pays interest semi-annually and has a maturity of 14 years. If the annual yield to maturity is 8.9%, what is the current price of this bond? (Answer to the nearest penny.)
2. At age 64 what would be the best investment, an interest bearing savings account, or a 30/60/90 day Certificate of Deposit?
3. Describe in detail the differences and similarities in calculating the present value and future value of a lump sum, annuity, perpetuity and a series of unequal (multiple) cash flows.