a. On December 31, the company issued 6%, 15-year, $4,000 bonds that pay cash interest semiannually on June 30 and December 31. The market rate of interest for bonds with similar risk is 7%. Compute the present value as of December 31.

Compute the present value as of December 31, for the (a) bond

Nicholas receives loan proceeds today from a financial institution. Nicholas agrees to pay the financial institution $2,800 at the end of each month over a 3-year period, beginning one month from today. Assuming the interest rate on the loan is 3.6%, what is todays amount of the loan?