Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

hi please i need help on this two questions, the professor gave us that answers you see on the paper but i do not know

hi please i need help on this two questions, the professor gave us that answers you see on the paper but i do not know how to do them.
image text in transcribed
9. On January 1, 2018, bonds with a face value of $72.000 were sold. The bonds mature on January 1, 2028. The face interest rate is 6%. The bonds pay interest semiannually on July 1 and January 1. The market rate of interest is 10%. What is the market price of the bonds on January 1, 2018? The present value of $1 for 20 periods at 5% is 0.371. The present value of an ordinary annuity of $1 for 20 periods at 5% is 12.462. The present value of $1 for 20 periods at 3% is 0.554. The present value of an ordinary annuity of S1 for 20 periods at 3% is 14.878. (Round your final answer to the nearest dollar.) A. $54,062 B. $74,160 Explanation : C. $72,024 0. 172 D. $72,000 - $54 062 10. You are calculating the present value of $15,000 that you will receive at the end of every year for the next ten years. Which table will you use to obtain the present value of those $15,000 payments you will be receiving? A. Present Value of $1 table B. Future Value of $1 table C. Present Value of Ordinary Annuity of $1 table D. Future Value of Ordinary Annuity of $1 table $12.000 * 0.577) + (72 000 * 3% * 12.462

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Nicola M. Young, Irene M. Wiecek, Bruce J. McConomy

11th Canadian edition Volume 2

1119048540, 978-1119048541

Students also viewed these Accounting questions

Question

Gambling by student and professional athletes

Answered: 1 week ago