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QUESTION 12 Wesley Mouch's auto loan requires monthly payments and has an effective annual rate of 6.43%. The APR on this auto loan is closest
QUESTION 12 Wesley Mouch's auto loan requires monthly payments and has an effective annual rate of 6.43%. The APR on this auto loan is closest to: O a. 6.50% Ob.6.83% OC. 6.00% O d.6.25% O e. 6.62% QUESTION 13 ABC is a 4% coupon bond. Bond XYZ is a 10% coupon bond. Both bonds have 8 years to maturity and make half-yearly coupon payments. They are currently priced at par value. If interest rates fall by 1.5%, what are the new bond prices for Bond ABC and XYZ respectively? Assume par value per bond is $1000. a. Price for Bond ABC=$1,108.15; Price for Bond XYZ=$1,093.04 b. Price for Bond ABC=$1,108.15; Price for Bond XYZ=$1,085.80 OC. None of the answers are correct Od. Price for Bond ABC=$1,120.22; Price for Bond XYZ $1,085.80 Oe. Price for Bond ABC=$1,120.22; Price for Bond XYZ=$1,093.04
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