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QUESTION 18 What is the yield to maturity on a bond that has a price of $2,000 and pays $87 annually forever? QUESTION 19 We discussed a number of different types of loan instruments. Which of the following is true regarding loans? A. If a business obtains a loan, it means that the business is failing. OB. Only large businesses are allowed to obtain loans. OC. In a situation like what we have now, where businesses need funds for a short time, loans can help a business survive. D.Loans are always a bad idea. QUESTION 20 What is the yield to maturity of a discount (zero coupon) bond with a face value of $1,000 that I bought for $993.507 TTT Arial 3 (12pt) TEEM QUESTION 21 If the nominal interest rate is 1.5% and the expected change in inflation is 2%, what is the real interest rate? TTT Arial 3 (12pt) TE E 25 QUESTION 22 The Feds have taken action to insure that the Money Market has plenty of liquidity, in other words they want to make sure that there is plenty of money available in the Money Market right now. Why is this so critical given what we are going through with the virus? How will this help businesses? How will this help individuals? How will this help the economy after the virus is gone and we get back to normal? Be as detailed a you can to obtain maximum points

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