Masters corp. issues two bonds with 20-year maturities. both bonds are callable at $1,050. the first bond is issued at a deep discount with a coupon rate of 4% and a price of $580 to yield 8.4%. the second bond is issued at par value with a coupon rate of 8.75%.

a. what is the yield to maturity of the par bond? (round your answer to 2 decimal places.) yield to maturity %

b. if you expect rates to fall substantially in the next two years, which bond would you prefer to hold? bond with a coupon rate 4% bond with a coupon rate 8.75%

Employees at a library check out books to patrons. books have an isbn and a name. the library sometimes has multiple copies of the same book. books have one or more authors. a patron is an individual who has an active (non-expired) library card. for each library card, we store the person's first and last names and their address. for each employee, we store their employee id, current salary, first and last name and their address. we also store the employee id of their current manager. each time we check out a book to a patron we need to store the date of the transaction, the employee who checked out the book to the patron, and the library card of the patron. some employees have library cards. if an employee patron turns in a book late, the fine that they pay is a percentage of their salary. some employees are authors who have library cards—they are allowed to check out as many books as they like.