need help on #5

KO par value=FV [Dividend =Pv-Di FIN 303 Professor Dow Discount ( Rate Valuation Problem Set kaleways bigger that future 1. Dell issues a 10-year bond with a par value of $1,000 and a coupon rate of 8% paid semiannually. If payments are discounted at a 10% annual interest rate how much is this bond worth? 2. Dell issues a 10-year bond with a par value of $1.000 and a coupon rate of 6% paid semiannually. If this bond sells for $1,100, what is its yield to maturity? I? 3. Preferred stock in the Bright Corporation offers a quarterly dividend of $1.20 per share. If this dividend payment is expected to continue, and future payments are discounted at an 8% annual rate, how much should a share be worth? 4. Stock in Viola Inc. offers annual dividend payments of $2 per share (starting next year) that are expected to grow at an annual rate.of.4%. What is a share worth if future payments are discounted at a 9% rate. 5. continuation of 4) If a share was selling for $60, how fast would dividends have to grow to justify that price (assuming the other information is unchanged)