The following bond quotations are taken from the Wall Street Journal dated Friday, September 5, 2003.
| Company | Coupon | Maturity | Last Price | Yield |
| International Paper | 6.75 | Sep. 1, 2011 | 108.198 | 5.468 |
| Sara Lee | 3.875 | 15-Jun-13 | 89.700 | 5.235 |
| Wells Fargo | 7.25 | 24-Aug-05 | 109.645 | 2.191 |
| General Motors | 7.125 | 15-Jul-13 | 101.201 | 6.952 |
| Lincoln National | 7.125 | Dec. 15, 2011 | 105.903 | 5.307 |
a.) Explain why the International Paper bond is selling at a premimum but Sara Lee is selling at a discount
b.) Why is the yeild (yield to maturity) on the General Motors bond so much higher than the yield on the Sara Lee bond?
