1. A $100 U.S. savings bond that originally cost $75 to purchase pays 2.9% interest if held to maturity in ten years. How much will it pay at maturity? 2. You have a $1,000 bond at 4% that matures in...

1. A $100 U.S. savings bond that originally cost $75 to purchase pays 2.9% interest if held to maturity in ten years. How much will it pay at maturity?

2. You have a $1,000 bond at 4% that matures in five years and pays interest annually. You want to sell it, but the current interest rate on a similar investment that matures in five years is now paying 8% interest. What is the current value of your bond?