QS 14-15A Computing bond price C2 Compute the selling price of 10%, 10-year bonds with a par value of $380,000 and semiannual interest payments. The annual market rate for these bonds is 12%. Use present value Table B.1 and Table B.3 in Appendix B. (Round all table values to 4 decimal places, and use the rounded table values in calculations.) Table Value Present Value Cash Flow $380,000 par (maturity) value $19,000 interest payment Price of Bond Question 11 TABLE B.10 Present Value of 1 p=1/(1 + iy Rale 8% 9% 6% 10% 7% 12% 15% 1% 2% 5% Periods 4% 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 0.9901 0.9803 0.9706 0.9610 0.9515 0.9420 09327 0.9235 09143 09053 0.8953 08874 08787 0.8700 0.8513 0.8528 0.8444 0.8360 0.8277 08195 0.7798 0.7410 0.7050 0.6717 0.9804 0.9612 0.9423 0.9238 0.9057 0.8880 0.8706 0.8535 0.8368 0.8203 0.8043 0.7885 0.7730 0,7579 0.7430 0.7284 0.7142 0.7002 0.6864 0.6730 0.6095 0.5521 0.5000 0.4520 0.9709 0.9426 0.9151 0.8885 0.8626 0.8375 0.8131 0.7894 0.7654 0.7441 0.7224 0.7014 0.6810 0.6611 0.6419 0.6232 0.6050 0.5874 0.5703 0.5537 0.4776 0.4120 0.3554 0.3056 0.9615 0,9246 0.8890 0.8548 0.8219 0.7903 0.7599 0.7307 0.7026 0.6756 0.6496 0.6246 0.6006 0.5775 0.5553 0.5339 0.5134 0.4936 0.4746 0.4564 0.3751 0.3083 0.2534 0.2081 0.9524 0.9070 0.8638 0.8227 0.7835 0.7462 0.7107 0.6768 0.6446 0.6139 0.5847 0.5568 0.5303 0.5051 0.4810 0.4581 0.4363 0.4155 0.3957 0.3769 0.2952 0:2314 0.1813 0 1420 0.9434 0.8900 0.8396 0.7921 0.7473 0.7050 0.6651 0.6274 0.5919 0.5584 0.5268 0.4970 0.4688 0.4423 0.4173 0.3936 0.3714 0.3503 0.3305 0.3118 0.2330 0.1741 0.1301 0.0972 0.9346 0.8734 0.8163 0.7629 0.7130 0.6663 0.6227 0.5820 0.5439 0.5083 0.4751 0.4440 0.4150 0.3878 0.3524 0.3387 0.3166 0.2959 0.2765 0.2584 0.1842 0.1314 0.0937 0.0668 0.9259 0.8573 0.7938 0.7350 0.5806 0.6302 0.5835 0.5403 0.5002 0.4632 0.4289 0.3971 0.3677 0.3405 0.3152 0.2919 0.2703 0.2502 0.2317 0.2145 0.1460 0.0994 0.0676 0.0460 0.9174 0.8417 0.7722 0.7084 0.6499 0.5963 0.5470 0.5019 0.4604 0.4224 0 3875 0.3555 0.3262 0.2992 0.2745 0.2519 0.2311 0.2120 0.1945 0.1784 0.1160 0.0754 0.0490 0.0318 0 9091 0.8264 0.7513 0.6830 0.6209 0.5645 0.5132 0.4665 0.4241 0.3855 0.3505 0.3186 0.2897 0.2633 0.2394 0.2176 0.1978 0.1799 0.1635 0.1486 0.0923 0.0573 0.0356 00221 0.8929 0.7972 0.7118 0.6355 0.5674 0.5056 0.4523 0.4039 0.3606 0.3220 0.2875 0.2567 0.2292 0.2045 0.1827 0.1631 0.1456 0.1300 Q.1161 0.1037 0.0588 0.0334 0.0189 00107 0.8696 0.7561 0.6575 0.5718 0.4972 0.4323 0.3759 0.3269 0.2843 0.2472 0.2149 0.1869 0.1625 0.1413 0.1229 0.1069 0.0929 0,0908 0.0703 0.0611 0.0304 0.0151 0.0075 0.0037 19 20 25 30 35 40 ed to come the press temple. How much way to day at 105 comended manually to come on years meton and manual the OS Y Weed to $2.754 SCOX0.356 fi TABLE B.3: Present Value of an Annuity of 1 (1 + i)" Rate Periods 2% 5% 6% 7% 8% 9% 10% 12% 15% 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 25 30 35 40 0.9901 1.9704 2.9410 3.9020 4.8534 5.7955 6.7282 7,6517 8.5660 9.4713 10.3676 11,2551 12.1337 13.0037 13.8651 14.7379 15.5623 16.3983 172260 18.0456 22.0232 25.8077 29 4086 32 8347 0.9804 1.9416 2.8839 3.8077 4.7135 5.6014 6.4720 7.3255 8.1622 8.9826 9.7868 10.5753 11 3484 12.1062 12.9493 13.5777 142919 14.9920 15.6785 16.3514 19.5235 22.3965 24.9986 27.3555 0.9709 1.9135 2.8286 3.7171 4.5797 5.4172 6.2303 7.0197 7.7861 8.5302 9.2526 9.9540 10.6350 11.2961 11.9379 125611 13.1661 13.7535 14,3238 14.8775 17.4131 19.6004 214872 23.1143 0.9615 1.8861 2.7751 3.6299 4.4518 52421 6.0021 6.7327 7.4353 8.1109 8.7605 9.3851 9.9856 10.5631 11.1184 11.6523 12.1657 12.6593 13.1319 13.5903 15.6221 17.2920 18.6646 19.7928 0.9524 1.8594 2.7232 3.5460 4.3295 5.0757 5.7864 6.4632 7,1078 7.7217 8.3064 8.8633 9.3936 9.8986 10.3797 10.6378 11.2741 11.6896 12 0853 12.4622 14.0939 15.3725 16.3742 17.1591 0.9434 1.8334 26730 3.4651 4.2124 4.9173 5.5824 6.2098 6.8017 7.3601 7.8869 8.3838 8.8527 9.2950 9.7122 10.1059 10.4773 10.8275 11.1581 11.4699 127834 12.7648 14.4982 15.0463 0.9346 1.8080 26243 3.3872 4.1002 47665 5.3893 5.9713 6.5152 7.0236 7.4987 7.9427 8.3577 8.7455 9.1079 9.4466 9.7632 10.0591 10.3356 10.5940 11.6535 12.4090 12.9477 13. 3317 0.9259 1.7833 2.5771 3.3121 3.9922 4.6229 5.2064 5.7466 5.2469 6.7101 7.1390 75361 79038 8.2442 3.5595 8.8514 9.1216 9.3719 9.6036 9.8181 10.6748 11.2578 11.6546 11.9245 0.9174 1.7591 25313 3.2397 3.8897 4.4859 5.0330 5.5348 5.9952 6.4177 6.8052 7.1607 7.4869 7.7862 8.0507 8.3126 8.5436 8.7556 8.9501 9.1285 9.8226 10 2737 10.5668 10.7574 0.9091 1.7355 2.4869 3.1699 3.7908 4.3553 8684 5.3349 5.7590 6.1446 5.4951 6 8137 7.1034 7.3567 7.5051 78237 8.0216 8.2014 8.3649 8.5136 9.0770 9.4269 9.5442 9.7791 0.8929 1.6901 2.4018 3.0373 3.6048 4.1114 45638 4.9676 53282 5.6502 5.9377 6.1944 6.4235 56282 6.8109 6.9740 7.1196 7.2497 7.3658 7.4594 78431 8.0552 3.1755 8.2438 0.8696 1.6257 2.2832 2.8550 3.3522 3.7845 4.1604 4.4873 47716 5.0183 5.2337 5.4205 5.5831 5.7245 5.8474 5.9542 6.0472 6.1280 6. 1982 6.2593 6.4641 6.5660 6.6166 6.6418 Used to cause the present valenta seties of equal payments made at the end of each od TampleWhat is the prown value of 2.000 per your Bir 10 yeaning in aliumi 10. the cut o per year for 10 years the pointent of $12.35 today ($2.000 6.4177