Question
Instructions: Do not solve it, just draw the cashflow diagram. CASHFLOW DIAGRAM ONLY. 1. A bond issue of Php200,000 in 10 year bonds, Php1,000 units,
Instructions: Do not solve it, just draw the cashflow diagram. CASHFLOW DIAGRAM ONLY. 1. A bond issue of Php200,000 in 10 year bonds, Php1,000 units, paying 16% nominal interest in semiannual payments, must be retired by the use of a sinking fund that earns 12% compounded semiannually.What is the total semiannual expense? 2. A man wants to make a 14% nominal interest compounded semiannually on a bond investment.How much should the man be willing to pay now for a 12% compounded semiannually, Php10,000 bond that will mature in 10 years and pays interest semiannually?
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