finance

Katie Pairy Fruind has a $1,300. 14-year bond outstanding with a nominal yield of 18 percent coupon equals 18% $1,300 $2:34 per year. Assume that the current market required interest rate on similar bonds is now only 12 percent. Use Accedex and Appendix D for promote answer but cate your finanswer using the formua and financial calculator methods a. Compute the current price of the bond. Do not round intermediate calculations. Round your final answer to 2 decimal places. Assume interest payments are annual) Current price of the bond b. Find the present of percent 31,00 for 50 for 14 years to 2 decimal places. Assume interest payments we annual) 12 percent The 578 med to payment Add a 1,300. (Do not round Intermediate calculation Appendix 8 prent value of $1. PV, PV- 1 5% 0.952 0.907 0.864 119 0.001 ORO 0.971 0.925 0.89 0.855 0.893 0.797 0.712 06 0.942 0.567 0507 0513 0.923 0.790 0.750 0.731 0703 0.676 0.650 0.784 0.746 0.711 0.677 0545 0.614 0 585 0.404 0.361 O Percent 10% 0.935 0.926 0917 30 0873 0857 0.842 0826 0840 0.816 0.794 0.772 0.750 0.792 0.763 0.735 0.708 0.680 0787 0.713 0.681 0.650 0590 0.705 0.666 0.630 0.500 0665 0623 583 0.547 0.627 0582 0.540 0.502 0467 590 0.544 0.500 000 0.424 0.558 0.508 0.463 0.422 0386 02352 0527 0.475 0.429 03500317 0.444 0.397 0.356 0.319 0.286 0459 0302306 0.250 0.258 04 0388 0340 0299 023 022 0.417 030315 0.275 0239 0209 0.394 0.3390292 022 0218 018 0.371 0.317 0270 0231 0.19 0.170 0.350 0295 0250 0212 0.100.153 0331 0277 0232 0194 0164 0.138 0.312 0.258 0215 0.178 0.149 0.124 0233 0.184 0.146 0.116 0.002 0.074 0.174 0.131 0.000 0.075 0.057 0.044 0.097 0.067 0.046 0.0020 022 0.015 0.054 0.034 0,021 0.0130 .000 0.005 05 0896 OST 0879 0870 02 29 3% 0.9800 971 0951 0903 0.915 0924 ON 0.900 0.888 0.837 0.571 0.813 OS 0.789 0.837 0.756 0.8200744 0804 0722 0.78 0.701 0.773 0.681 0.758 0.661 0.743 0.642 0.720 0.623 0714 0.605 0.700 0.587 0.570 0.673 0.554 0.610 0.478 0552 0.412 0.453 0307 0.372 0.228 0.415 0.229 0.205 0.13 061 M4 0.836 0898 ORDO 0.780 OT 0.672 0.608 0.601 0.530 05770505 0.555 0481 0.534 0513 0436 0.494 0416 0.475 0.396 0.456 0.377 0.375 0.296 0.08 0.231 0208 0.142 0.141 0.087 0.145 0.130 0.116 0.104 0.059 0.00 0.011 0.003 Appendix concluded) 0867 0.44 13% 0.85 0.750 0.500 0.613 0.53 0.0 0.405 0.376 0.33 14% 0.877 0.750 0.675 0.500 0.519 .456 19 0 0351 0.08 0305 0.009 0.017 15% 189 0.870 0.862 0.756 073 0.658 0.641 0552 0.407 0.478 0.432 0.410 376 0.354 0.327 0.254 0263 0.247 0.215 0.195 0.16 0.16 0.16 0.15 01.01 0.125 0.125 0.105 0.107 0. 0.00 OORD 000 0069 00700050 0.061 0.051 0.030 0004 0.0150012 0.004 0 003 0.001 0.001 309 0.750 052 0.455 350 0.269 0207 150 0123 0004 0073 0.08 0.00 0.000 0.005 0000 0.015 0012 0.000 0 261 0.331 0204 181 0.160 141 02 0.111 0 0 0237 0.203 0.1 0 100 179 189 19% 0.855 0.847 0.840 0 731 0718 0.609 0.500 0515 0.499 0.37 0.419 0.390 0.370 0.352 0296 0.285 0206 024 0243 0225 0.209 0.101 0176 0.178 0.162 0.18 0.152 O 0124 0.130 0.116 0.104 0.111 0.099 0.058 0.005 040074 0.081 0.071 0.062 0.050 0.060 0.052 0.059 0.051 0.044 0430097 0.043 0.037 0.001 0.0200.0160.013 0.000 0.00 0.005 0.002 0.001 0.001 0 0 0 20% 25% 0.833 0.800 0.694 0.540 0579 0.512 0.482 0.410 2402 0.328 335 0.279 0.210 0233 0 158 0.14 0.134 0.152 0.107 0.1360.06 0.112 0.00 0.00 0.05 0.078 0.04 0085 000 0.054 0028 0.045 0 .023 0 8 0 018 00:31 0.003 0012 0.010 0004 0.0040.001 0 0.001 0 0 0 0 359 0.741 0.714 0549 0510 0.405 0.301 OMO 0.723 0.136 0.165 0.133 122 0005 0.001 0.068 0.087 00 0.00 0.005 0037 0005 0.00 0.015 0.000 0.013 00150000 0011 0006 0.005 0.000 0.000 0.00 0.00 0 000 0.002 0.001 0.001 0 0 0 0 O DO 0006 O DOO 0103 000 0 0 0.001 0 8888 0.047 0.006 0.008 0.002 0.00 0.000 0.005 0.001 0005 0.001 0 0 0 AR SIP PVA Period 7 0 000 1970 2011 000 11 2775 0.952 1 RSD 0.00 100 2854 3.800 4.713 5.501 8.472 7395 0.335 1808 2.694 6% 0.943 1.833 2573 3455 4212 0.071 1013 2029 3717 450 5.417 100 390 115 0.901 1.713 2444 3.102 3606 4.231 4712 5 105 537 3545 4329 5078 5730 4.452 5.242 0.002 5.795 6.728 70 126 0893 1.890 2402 3.037 3.805 4.111 4564 4.968 5.08 5.650 5.938 6.194 5.5 6.210 5.380 5.971 6515 7.100 8.93 7350 7887 30 7/199 6.207 971 10 11.255 12.134 2004 13.50 10.575 11.30 12.105 12.50 ON TON 0.925 0917 0009 1780 1.750 1736 2.577 25.11 2.487 3.312 32403170 3.800 3.791 4.623 4.486 4.355 5.200 5.003 4 5.767 5535 5305 50055759 5.418 5.145 6 5 5. 5 7.161 6.814 7.904 767 700 7765 8.50 7.500 3313 7204 8092 9.372 8.201 2.600 9818 9129 8.514 106759239.077 11258 10.274 9.427 11.25 10.757 .779 12 230 10.02 .0159 994 9.999 10380 6.750 5282 7191 7379 15 5 TES 3 111 750 9.954 9385 10.635 1125 1053 11 11.118 12.561 11052 1315612166 13.754 12550 1424 13134 1477 13.590 17.413 152 19.500 17.292 23.115 19.793 2570 21.02 16 14992 15.678 182351 19.523 53 8.745 9712 108 10.106 9.47 10 677 9.763 10 29 10.05 11.158 10.336 11.47010594 1273 11 654 13.756 12.409 15.048 13.332 1572 13801 1126 11.00 12.05 12 462 14 0944 15.372 17.159 18.256 22 7702 7839 7963 8.422 8.694 8151 .042 7.120 7250 7368 7.80 7 8.055 8244 8.304 25.808 32 33 27355 31.424 50% 3517 29 23 35 1824 4799 5.132 51425 5018 5.122 17 18 35% 40% 0.77 0.0 0 2 0.855 0.87 08 0.800 0.750 0.741 0.714 154 155 156 155 156 157 1381 120 220 2210 2.174 2106 1816 16 2014 2015 2.700 2 743 2680 2569 2 2106 1997 149 3274 3.058 2.991 2400 2.220 27 251 250 420 4039 3812 3.706 305 3151 2 25082263 4207 4078 3954 38 39 225 250 2331 4.94 6772 4507 4303 416340313453 3019 265 2379 5216 5.019 4.1903 .571 3.000 2715 2414 5.234 5099 4.836 4373656 22752 2.438 5.197 4999 4.700 4611 4.450 3.725 3190 2.779 2456 5. 5. 30 4010 4715 4.630 3.780 3.220 2.799 2.400 5.724 5 4611 3.024 3002814 2.478 5 M 5575 5.324 5090 878 4.675 MG 122 5 5265 5.954 58 5.162 4908 4.730 3.280 2834 2.49 6.373 6,047 5.709 5222 4.980 4.775 3.910 3295 240 2492 T 6.128 818 5273 5.033 4812 3308 3304244 2494 550 6.10 SUBTT 5.070 - 4863 3.000 3. 311 2000 2400 5.623 6250 5.909 .600 5353 5101 4.870 3.056 2.310 2850 2497 63 64 607 766 67 5.195 395 339 2 2 499 7003 577 609 5.517 525 49 390 39 257 2500 557 5503 525 997 3000 3302 2500 13366120550 5554524999000 32 2500 119 1.985 7.990 6.30 5229 5.000 6.604 6.729 6.340 6800 1.995 1.997 1.990 1.999 1900 1.999 7330 7.436 7.834 7.695 2.000 2.000 2000