Question
Complete the below table to calculate the price of a $1.4 million bond issue under each of the following independent assumptions (FV of $1, PV
Complete the below table to calculate the price of a $1.4 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 15 years, interest paid annually, stated rate 10%, effective (market) rate 12% |
2. Maturity 15 years, interest paid semiannually, stated rate 10%, effective (market) rate 12%
3. Maturity 5 years, interest paid semiannually, stated rate 12%, effective (market) rate 10%
4. Maturity 10 years, interest paid semiannually, stated rate 12%, effective (market) rate 10%
5. Maturity 10 years, interest paid semiannually, stated rate 12%, effective (market) rate 12%
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