1. If yields are unchanged, explain why the price of a coupon bond selling at a discount increases as its maturity date approaches. 2. If yields are unchanged, explain why the price of a coupon bond selling at a premium decreases as its maturity date approaches. Solution If yields are unchanged, the maturity amount is the par value of the bond. So, you can imagine that a bond that sells at a discount, the price of the bond is expected to increase to reach the par value by the time of the maturity. The opposite applies in the case of a bond selling at premium. Again, another way to look at it is that as the time to maturity approaches for a discounted bond, the reinvestment risk decrease and so the value of the bond increases. On the other hand, in the case of abond selling at premium, the benefits of higher coupons approaches its end and so the value of the bond decreases..

1. 1. If you own real property (land) in
Solution
hey guys!!!! Lets us understand the meaning of "FEE SIMPLE"
1. A fee simple is an estate in land, a form of freehold ownership. It is the way that real estate is
owned in common law countries, and is the highest ownership interest possible that can be had in
real property.
A real estate owner has the same rights as an owner of personal property: the right to possess it,
to control it, to enjoy it, and to exclude it from others, as well as the right to dispose of it by
selling it, gifting it, abandoning it, or bequeathing it