For every dollar earned by men, women earn:

Assume you are analyzing two separate annuity pools. Pool A has significantly higher mortality (deaths/thousand) than Pool B. Holding other factors constant, which pool will make higher payments per month to each annuitant?

A) A B) B C) The monthly liquidation payments will be equal. D) We cannot say because mortality is not an important factor in calculating annuity payments.

A firm issues two-year bonds with a coupon rate of 6.7%, paid semiannually. The credit spread for this firm's two-year debt is 0.8%. New two-year Treasury notes are being issued at par with a coupon rate of 3.1%

What should the price of the firm's outstanding two-year bonds be per $100 of face value? A) $126.40 B) $147.47 C) $84.27 D) $105.34