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1) An annuity makes payments of 1000 at the beginning of every 7 years over 70 years at an effective annual interest rate of 4%

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1) An annuity makes payments of 1000 at the beginning of every 7 years over 70 years at an effective annual interest rate of 4%. Find the present value of this annuity.

2) Assume that today's date is February 15, 2015. Robin Hood Inc. bond is an annual-coupon bond. Par value of the bond is $1,000.  

How much you will pay for the bond if you purchased the bond today? 

The answer should be calculated to two decimal places.

Company - Robin Hood

Price - 111.364

Coupon Rate - 8.417

Maturity Date - 2-15-2030