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Complete the below table to calculate the price of a $1.2 million bond issue under each of the following independent assumptions (FV of $1, PV
Complete the below table to calculate the price of a $1.2 million bond issue under each of the following independent assumptions (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1)(Use appropriate factor(s) from the tables provided.Enter your answers in whole dollars.): | ||
1.) Maturity at 14 years, interest paid annually, Stated Rate 8%, Market Rate 9% | ||
Table Values Based On: | ||
n= | ||
i= | ||
Cash Flow | Amount | Present Value |
Interest | ||
Principal | ||
Price of Bonds | ||
2.) Maturity at 6 years, interest paid SEMIannually, Stated Rate 12%, Market Rate 9% | ||
Table Values Based On: | ||
n= | ||
i= | ||
Cash Flow | Amount | Present Value |
Interest | ||
Principal | ||
Price of Bonds | ||
3.) Maturity at 5 years, interest paid SEMIannually, Stated Rate 14%, Market Rate 7% | ||
Table Values Based On: | ||
n= | ||
i= | ||
Cash Flow | Amount | Present Value |
Interest | ||
Principal | ||
Price of Bonds | ||
4.) Maturity at 10 years, interest paid SEMIannually, Stated Rate 10%, Market Rate 7% | ||
Table Values Based On: | ||
n= | ||
i= | ||
Cash Flow | Amount | Present Value |
Interest | ||
Principal | ||
Price of Bonds | ||
5.) Maturity at 10 years, interest paid SEMIannually, Stated Rate 10%, Market Rate 9% | ||
Table Values Based On: | ||
n= | ||
i= | ||
Cash Flow | Amount | Present Value |
Interest | ||
Principal | ||
Price of Bonds |
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