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a) 2.2 b) 4.86 )3.66 d) 3,96 e) Does not pay 12) What are the cases in which the IKk and NPry mign words when
a) 2.2 b) 4.86 )3.66 d) 3,96 e) Does not pay 12) What are the cases in which the IKk and NPry mign words when is the IRit unreliable? givethe same ) Mutually Exclusive Projects the some swwer in ii) When the NPV is equal to 0 ill) Non-Normal Cash Flows iv) When the project involves aliens a) i and li only b) ii and iv only c) i and ii only d) i, ii, and iii e) all of the above 13) The Rapture Marine Corporation has $1,000 face value bonds issuod wiwh s7 A0% coupon They mature in 9 years and call for semi-annual payments and currenly have a yield to maturity of 5.5%, what will happen to the price of the bond ifthe market imerest rate suddenly increases to 10%? a). The bond price will increase but still trade at a discount b) The bond price will increase and trade at a premium c) The bond price will decrease but still trade at a premium d) The bond price will decrease and trade at a discount e) The bond price will remain unchanged 14) Adventureland Corporation offers 7.25 percent coupon bonds with semiannual payme a yield to maturity of 3.41 percent. The bonds mature in 11 years What is the market per bond if the face value is $1,000? a) $1,349.77 b) $1,011.93 c) $1,752.82 d) $1,801.14 e) SI,513.39
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