Derive the probability distribution of the 1 year HPR on a 30 year US Treasury Bond with a coupon of 4.00% It has a par value of $100.00 The probability distribution of its YTM a year form now is given below. Th entire 4% coupon is paid at the end of the year rather than every 6 months. Economy Probability YTM Price Bppm 10.00% 6.00% $72.82 Normal 60.00% 5.00% $84.86 Recession 30.00% 4.00% $100.00 100.00% What is the capital gain, if any, for each state of the economy, where it is calculated as the difference between the market value and par value? a. -$17.18, -$14.14, $0.00 b. $27.18, $15.14, $0.00 c. -$21.78, -$11.54, $0.00 d. -$27.18, -$15.14, $0.00

1. the corporate form of business organization has an advantage over both the sole proprietorship and the general partnership in ease of 2. the corporate form of business organization has an advantage over both the sole proprietorship and the general partnership in external liability for business 3. a partnership is an association of two or more persons to carry on as co-owners a business for 4. any one partner may be held liable for the entire indebtedness of the 5. a limited partner is liable for the partnership debt only to the extent of her capital 6. a person may be a partner even though he has no authority to conduct the ordinary activities of the 7. a partner may withdraw his capital contribution without the consent of all the 8. when a partner sells his interest in the partnership, the buyer becomes a new 9.every partner owes a duty of good faith, fairness, and loyalty to the other 10. a partner who fails to use ordinary care and skill in discharging assigned duties will be personally liable to the partners for any resulting loss.