Assume that you decides to buy a housefor $187,600. You will pay 20% down payment by your saving and fundthe remaining amount (i.e., 80% of the house price) using amortgage loan. The bank offers 30-year mortgage with monthlyinterest 0.5313%. You will pay backthe loan in equal amount at theend of each month for the next 30 years. (In other words, just likereal-world practice, you will pay back the loan using equal-amountmonthly payments).  How much is your monthly payment forthis mortgage loan?  Â
             A)863
         B) 936
             C)1,021
         D) 1,121
         E) 1,211
Kodak has a bond with 10 year untilmaturity, a coupon rate of 12%, and selling for $1,200. This bondpays coupon payment annually. What is the yield to maturity of thisbond?    Â
         A)           6.1%.
             B)7.1%.
             C)       8.9%.
             D)       9.9%. Â
         E)           12%.
