Please elaborate on these two integral precepts within the field of finance that must be understood for their successful application. Answer the questions in the text with 1, 2 NOT repeating the question itself.

1. The relationship between a bond's price and the yield to maturity is an inverse relationship. Please explain; make sure you don't simply restate the inverse relationship, but explain the reasoning.  If you can remember and understand the "why", you will never forget this important relationship.  Examples are encouraged.

2. Why are stock valuation models dependent upon expected dividends, future dividend growth, and an appropriate discount rate?  Please be sure to review how we value any financial asset which will help dissect this answer. 
DIRECTIONS/GUIDELINES:

Review your the PowerPoint file, the end of chapter questions and answers, and the textbook prior to answering.  Consult with outside resources if you need further information but be sure to cite all sources properly (in text citations and a reference list). 

APA format is required. 

Please pay close attention to proofreading, punctuation, and overall writing quality. 

Stay direct and to the point but carefully and thoughtfully address each question.