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1. What is the total return in $ received by the holder(s) of a bond with a face value of $10,000.00, paying 5.00%, if the
1. What is the total return in $ received by the holder(s) of a bond with a face value of $10,000.00, paying 5.00%, if the bond were purchased for $9.250.00, held 5 years to maturity, and then redeemed? 2. You are the owner of a $5,000.00 bond, paying 5.50% interest. Interest rates in the general marketplace have gone down to 4.50%. What price should you expect to receive for your bond? 3. You are considering the purchase of a $10,000.00 bond paying 4.75% interest. You wish to receive 6% on your investment. How much would you be willing to pay for the bond? 4. You are the owner of a $10,000.00 bond, paying 5.50% interest. You purchased the bond for $10,250.00. What is your annual percentage return on investment? 5. You are considering the purchase of a bond. You have narrowed the field of considerations to three bonds (A, B, and C), each with the same purchase price, and each paying the same interest rate. However, each bond has a different interest payment period- A paid annually, B paid semi-annually, and C paid quarterly. Which should you choose and why
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