1. Explain different types of Yield Curve, definition, examples, events or when each type of yield curve happened in history. Why it shows the certain shape.
2. Consider the following information for a period of years: Series Arithmetic Mean Long-term corporate bonds 8.1 % Long-term government bonds 8.0 Inflation 3.6 What is the real return on long-term government bonds?
3. If you borrow $3,000 and agree to pay the loan in four equal annual payments at an interest rate of 10% what will your payment be?What will your payment be if you make the first payment on the loan immediately instead of at the end of the first year?