1. what is the effective interest rate for a savings accounting that is compounded quarterly at 8%?

2. a bond has a current market price of $1230.00. it is said to be selling at a

a. premium

b. discount.

c. bonus

d. reward

2. bond c has a $1000 face value and provides an 8% semiannual coupon for 15 years. the appropriate discount rate is 10% (annual rate). what is the value of the coupon bond?

3. if the next period's dividend is $3.00 the required return is 12 percent and the growth rate is 7 percent, what is the firm's stock price?