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28. You borrow $20,000 to be repaid in 12 monthly installments of S1,833.60. The annual interest rate is closest to a. 2 percent b. 12

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28. You borrow $20,000 to be repaid in 12 monthly installments of S1,833.60. The annual interest rate is closest to a. 2 percent b. 12 percent. c. 18 percent d. 24 percent 29 SWH Corporation issued bonds on Jasuary 1, 2004. The bonds had a coupon rate of 6.5% with interest paid semiannually. The face value ofthe bonds is $1,000 and the bonds mature on January 1, 2019. What is the intrinsic value of an SWH Corporation bond on January 1, 2010 to an investor with a required return of v of7967 a. $954,46 b. $967.03 c. $1,000.00 d. $1,033.28 30. Put the following in order of their claim on assets of a firm, starting with the FIRST to have a claim: A. Bonds B. Preferred stock C. Common Stock A, B, C C. A, B . , , d. C, B, A 31. How much money must be deposited at the end of each year into a bank account yielding 6.8% (compounded annually) in order to have S27.000 at the end of 12 years? a. $1,527.21 b. $1,393.16 c.$1,261.04 d. $I.119.07 8 of 11

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