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please help with my questions Do all the following questions. Each question correctly answered will be worth 1.0 mark. A partial correct answer will entail
please help with my questions
Do all the following questions. Each question correctly answered will be worth 1.0 mark. A partial correct answer will entail partial marks. QUESTION #7 Ms. Taylor is 21 years old and she just obtained her MBA degree. She is considering the following two career options: (a) Start working now, caring an annual salary of $50,000 in each of next 44 years. (b) Enroll in a PhD program, complete it in 5 years and subsequent work for 39 years, eaming cach year the salary of $100,000. Assume that her net educational expenses at the end of each of 5 years will be of $25,000. Also, assume that the relevant annual interest rate is 5% throughout, and all the annuities in the question are ordinary annuities. Based on the above information, find the implied or imputed monetary value of her PhD as of now. QUESTION #2 As of August 31, 2019 a bank had in its balance sheet cash, denoted by C, loans, denoted by L, real assets, denoted by RA, deposits, denoted by D, equity, denoted by E, and no other assets or liabilities. C was 6% of totals assets (TA), RA were 4% of TA, D were 19 times of E and the difference between D and L was $5.00 billion. Find the balance sheet of the bank as of August 31, 2019. QUESTION #3 Currently, a bond has the face value of $1,000, the remaining term of 2 years the coupon interest to be paid every six months and its coupon rate is set as follows: The coupon rate the annual yield on 10-year GOC bond, prevailing at the time of payment (call it X) + 3.5% Suppose the required yield-to-maturity of the bond is 7% per annum and it is expected to stay the same X is expected to be 3%, 4%, and 4.5% and 5% at the end of the 1" 6-month period, 26-month period, 30 6-month period and 4" 6-month period respectively. Find the current price of the bond Step by Step Solution
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