Heather smith is considering a bond investment in locklear airlines. the $1,000 par value bonds have a quoted annual interest rate of 9 percent and interest is paid semiannually. the yield to maturity on the bonds is 12 percent annual interest. there are 15 years to maturity. compute the price of the bonds based on semiannual analysis.

Suppose you hold a portfolio consisting of a $10,000 investment in each of 8 different common stocks. the portfolio's beta is 1.25. now suppose you decided to sell one of your stocks that has a beta of 1.00 and to use the proceeds to buy a replacement stock with a beta of 1.55. what would the portfolio's new beta be? do not round your intermediate calculations.