1. Sovereign Partners wishes to diversify its portfolio by investing in corporate bonds. The bond with a £1,000 face value pays annual coupon at the rate of 6% and matures in 4 years. If the bond...

1. Sovereign Partners wishes to diversify its portfolio by investing in corporate bonds. The bond with a £1,000 face value pays annual coupon at the rate of 6% and matures in 4 years. If the bond currently sells at 85.25%, determine the yield to maturity (YTM) for this bond. 12.01% 14.20% 10.80% 15.79%?????? 2. ABC's shares have the following characteristics: Current dividend = £5.50; Dividend growth rate = 5%; Required rate of return = 12%; Risk free rate = 4%. What is most likely to be the value of each share using the dividend discount model? £70.00 £78.57 £82.50 £74.20