Sayed lation Cases The Chestnut Street Company plans to issue a bond semiannually on March 31st and September 30th, The Controller has asked you to calculate Information about the bond assuming two different market interest rates in the Excel Simulation below. The present value factor tables are included in the first four tabs of the Excel Simulation. Use the information included in the Excel Simulation and the Excel functions described below to complete the task. Cell Reference: Allows you to refer to data from another cell in the worksheet. From the Excel Simulation below, if in a blank cell. -C6" was entered, the formula would output the result from cell C6, or 10 In this example. Multi-Tab Cell Reference: Allows you to refer to data from another cell in a separate tab in the worksheet. When using the multi-tab cell reference, type the equal sign first, then click on the other tab and then click on the cell you want to reference. The syntax of a multi-tab cell reference looks different than a normal cell reference, since it includes the tab name surrounded by apostrophes and also an exclamation point before the cell location. From the Excel Simulation below, if in a blank cell on the Sheet tab "Future Value of $1'C13" was entered, the formula would output the result from cell C13 in the Future Value of $1 tab, or 110462 in this example, Basic Math functions: Allows you to use the basic math symbols to perform mathematical functions. You can use the following keys. + (plus sign to add). - minus sign to subtract). (asterisk sign to multiply), and/(forward slash to divide) From the Excel Simulation below. If in a blank cellC6 C8" was entered, the formula would add the values from those cells and output the result, or 12 In this example. If using the other math symbols the result would output an appropriate answer for its function. IF function: Allows you to test a condition and return a specific value is the result is true and different value of the result is false. The syntax of the IF function is -IF(test_condition value_ true,value_it_falses and specific considerations need to be made when using this function. The tesl condition argument is an evaluation of the status of a cell, such as if the value of a cell is greater than, less than or equal to another number or cell. The value_Il_true and value_ICfalse arguments will return any specific result for each option, such as another cell reference, a value, or text. Throughout the entire equation, if text is being used in the test_condition, value inue, or value__false arguments then the text itself should be entered in quotations so that Excel will recognize the text as a "string of text instead of another function. From the Excel Simulation below, if in a blank cell-IFC6>2,"Long-Term Bond","short-Term Bond") was entered, the formula would output the result of the value true since the rest.condition would be result as true, or in this case the text "Long-Term Bond" Excel processes the IF function by separating it out into separate parts. First the test condition - Excel thinks, find cell Co and determine if the value is greater than 2 Once Excel determines if the result of that tes condition is TRUE or FALSE, it will return the value_ true or value false. VLOOKUP Function: Allows you find a value inside of a sorted data table by referencing the column and row labels. The syntax of the VLOOKUP function is "VLOOKUP(lookup_value table_array.coLindex_num,range_lookup and results in a value found from a data table The lookup_value argument is the value to be found in the first column of the table The table array is the cell reference for the data table, usually shown as a range. The colindex_num argument is the column number in the data table (table array) where the matching value should be found. The range_lookup argument is a logical value of TRUE or FALSE, where TRUE represents the value found in the first column should be a closest match, and FALSE represents the value found in the first column should be an exact match. From the Excel Simulation below, if in a blank cell VLOOKUP(C6, Future Value of $1'1B3.127.2.FALSE) was entered the formula would output the result of 110462 in this example. Excel processes the VLOOKUP function by using each argument to find the cross-section of the column and row reference in the data table in the example, Excel looked at the first column of the table_array on the Future Value of $1 tab cells B3:127 and found the lookup_value of the Sheet cell C6 reference, or 10 periods in this example. That position in the first column is stored in Excel to know what row the final result will be found in Remember that the first column used is the first column of the table_array and not the first column of the worksheet tab. Then the colindex_num is used by Excel to determine what column of the table_array the final result is included, or in this case the second column. Excel then finds the cross-section of those two values using the row and column references and outputs the final result from the data table X The Chestnut Street Company plans to issue $825,000, 10-year bonds that pay 7 c . ET FOR 1 The Chesthut Street Company plans to issue $825,000, 10 year bonds that pay 7 percent 2 semiannually on March 31st and September 30th. ovou Information relating to this bond is found below: Face Value: $ 825,000 Number of Years: Stated Interest Rate: Number of Payments per Year 10 Required: 11 Calculate or provide the information requested using a formula or cell reference unless 12 you are instructed to use a specific function: 14 1) Assume the Market Interest Rate is: How many total payments or periods will this bond pay interest? 20 When calculating the bond selling price, show the factor from the appropriate future or present value table (found in worksheets included in this workbook) that would be used to calculate the bond interest payments. . ... lity of $1 Present Value of Annuity of $1 Bonc ... + READY Attempt(s) - 100% The Chestnut Street Company plans to issue $825,000, 10-year bonds that pay Repeat question b. but now use the VLOOKUP function. For the Lookup_value argument, your function should reference the result you calculated in question a. Your function should look for an exact match to the value used in the Lookup_value argument. Calculate the amount of interest that will be paid on March 31st. Calculate the value of the interest payments that would be used when determining the bond selling price. Calculate the selling price of this bond: Using the IF function, show the word "Premium" or "Discount": based on the selling price you calculated in letter f. || TUI Assume the Market Interest Rate is: When calculating the bond selling price, show the factor from the appropriate future or present value table (found in worksheets included in this workbook) that would be used to calculate the bond interest payments. Repeat question a. but now use the VLOOKUP function. ...lity of $1 Present Value of Annuity of $1 Bonc ... READY Attempt(s) - 100% Clipboard Font A1 ABBBB 3 * * The Chestnut Street Company plans to issue $825,000, 10-year bonds that pay 7 coE When calculating the bond selling price, show the factor from the appropriate future or present value table (found in worksheets included in this workbook) that would be used to calculate the bond interest payments. Repeat question a. but now use the VLOOKUP function. Your function should reference the result you calculated in question Number 1 letter a.) Your function should look for an exact match to the value used in the Lookup_value argument. 50 C Calculate the amount of interest that will be paid on March 31st. 52 d. Calculate the value of the interest payments that would be used when determining the bond selling price. Calculate the selling price of this bond: Using the IF function, show the word "Premium" or "Discount based on the selling price you calculated in lettere. 89 8 . ..lity of $1 Present Value of Annuity of $1 Bonc ... | READY -+ 100% Attempt(s) Hint 150X 3.SOX 5.00% 10.952 1.00% 1.50% 2.00% 2.50% 3.00% 4.00% 0.99010 0.98522 0.98039 097561 0.970870966180.961540.95694 197040 195588 1.94156 192742 191347 1.859 1.899691.88609 1.87267 294099 2.91220 2.88388 285602 2.82861 2.80164 12723 2.775092.74896 3.90197 3.85438 3.80773 3.76197 3.71710 3.67308 3.62990 3.5454 3.58753 1 4.85343 4.78264 4.71346 4.64583 457971 451505 4.45182 438998 14.329 5.79548 5.69719 5.60143 5.50813 5.41719 5.32855 5.24214 5.15787 5.075 6.72819 6.59821 6.47199 6.34939 6.23028 6.11454 6.00205 5.89270 5.786 7.65168 7.48593 7.32548 7.17014 7.01969 6.87396 6.73274 6.59589 16.463 8.56602 8.36052 8.16224 7.97087 7.78611 7.607697 43533 7.26879 7.1071 9.47130 9.22218 8.98259 8.75206 8.53020 8.31661 8.11090 7.91272 7.721 10.36763 10.07112 9.78685 9.51421 9.25262 9.00155 8.76048 8.52892 8.306 11.25508 10.90751 10.57534 10 25776 9.95400 9.66333 9.38507 9.11858 8.863: 12. 13374 11.73153 11.34837 10.98319 10.63496 10.30274 9.98565 9.58285 11 9.393: 13.00370 12.54338 12 10625 11.69091 11.29607 10.92052 10.5631210.222839.8981 13.86505 13.34323 12.84926 1238138 11.93794 11.51741 11.11839 10.73955 10.37 14.71787 14.13126 13.57771 13.05500 12.56110 12.09412 11.65230 11.23402 10.83 15.56225 14 90765 14.29187 13.71220 13.16612 12.65132 12 16567 11.70719 11.27 16.39827 15.67256 14.99203 14 35336 13.75351 13.18968 12.65930 12.1599911 17.22601 16 42617 15.67846 15.67846 14 97889 14 97899 14 32380 14.32380 1 13.70984 13.13394 12.59329 18.04555 17.16864 16.35143 15.58916 14.87747 1421240 13.59033 13.00794 18.85698 17.90014 17.01121 16.18455 15.41502 14.69797 14.02916 13.40472 22.02316 20.71961 19.52346 18.42438 17.41315 16.48151 15.622081482621 25.80771 24.01584 22.39646 20.93029 19.60044 18.3920517 29203 16.28889 3283469 29.91585 27.35548 25 10278 23.11477 21.35507 19.79277 18.40158 ... $1 Present Value of Annuity of $1 Bond Pricing - 80% READY Attempt(s) o f TABLE 4 5.00% 6.00% $ 5.50% 7.00% 4 0.95238 0.94787 0.94340 0.93458 5 185941 1.84632 1 83339 180802 6 272325 2.69793 2.67301 262432 7 3.54595 3.50515 3.46511 3.38721 3 4.32948 4.27028 4.21236 4.10020 9 5.07569 4.99553 4.91732 4.76654 10 5.78637 5.68297 5.58238 5.38929 11 6.46321 6.33457 6.20979 5.97130 12 7.10782 6.95220 6.80169 6.51523 13 7.72173 753763 7.36009 7.02358 14 8.30641 8.09254 7.88687 7.49867 15 8.86325 8.61852 8.38384 794269 16 9.39357 9.11708 8.85268 8.35765 17 9.89864 9.58965 9.29498 8.74547 18 10.37966 10.03758 9.71225 9.10791 19 10.83777 10.46216 10.10590 9.44665 20 11.27407 10.86461 10.47726 9.76322 21 11.68959 11.24607 10.82760 10.05909 22 12.08532 11.60765 11 15812 10.33560 23 12.46221 11.95038 11.46992 10.59401 24 12.82115 12.27524 11.76408 10.83553 25 14.09394 13.41393 12.78336 11.65358 26 15.37245 14.53375 13.76483 12.40904 27 17.15909 16.04612 15.04630 13.33171 ... $1 Present Value of Annuity of $1 READY Attempt(s) 8.00% 9.00% 0.92593 0.91743 178326 175911 257710 253129 3.31213 3.23972 3.99271 3.88965 4.62288 4.48592 5 20637 5.03295 5.74664 5.53482 6.24689 5.99525 6.71008 6.41766 7.13896 6.80519 7.53608 7.16073 7.90378 7.48690 8.24424 7.78615 8.55948 8.06069 8.85137 8.31256 9.12164 8.54363 9.37189 8.75563 9.60360 8.95011 9.81815 9.12855 10.01680 9.29224 10.67478 9.82258 11.25778 10.27365 11.92461 10.75736 Bond Pricing ... 10.00% 0.90909 173554 2.48685 3.16987 3.79079 4.35526 4 86842 5.33493 5.75902 6.14457 6.49506 6.81369 7.10336 7.36669 7.60608 7.82371 8.02155 8.20141 8.36492 8.51356 8.64869 9.07704 9.42691 9.77905 11.00% 0.90090 171252 2.44371 3.10245 3.69590 4.23054 4.71220 5.14612 5.53705 5.88923 6.20652 6.49236 6.74987 6.98187 7.19087 7.37916 7.54879 7.70162 7.83929 7.96333 8.07507 8.42174 8.69379 8.95105 12.00% 0.89286 169005 240183 3.03735 3.60478 4.11141 4.56376 4.96764 5.32825 5.65022 5.93770 6.19437 6.42355 6.62817 6.81086 6.97399 7.11963 7.24967 7.36578 7.46944 7.56200 7.84314 8.05518 8.24378 + 86% Paste BU- A HLIL Formatting Table - Styles Styles Clipboard Font A1 TABLE4 o 20.00% 0.83333 1.52778 2.10648 2.58873 2.99061 3.32551 3.60459 3.83716 4.03097 4.19247 6.00% 4 0.94340 5 183339 6 2.67301 7 3.46511 8 4.21236 9. 491732 10 5.58238 11 6.20979 12 6.80169 13 7.36009 14 7.88687 15 8.38384 16 8.85268 17 9.29498 18 9.71225 19 10.10590 20 10.47726 21 10.82760 22 11.15812 23 11.46992 24 11.76408 25 12.78336 26 13.76483 27 15.04630 7.00% 8.00% 9.00% 0.93458 0.92593 0.91743 1.80802 1.78326 175911 2.62432 257710 253129 3.38721 3.31213 3.23972 4.10020 3.99271 3.88965 4.76654 4.62288 4.48592 5.38929 5.20637 5.03295 5.97130 5.74664 5.53482 6.51523 6.24689 5.99525 7.02358 6.71008 6.41766 7.49867 7.13896 6.80519 7.94269 7.53608 7.16073 8.35765 7.90378 7.48690 8.74547 8.24424 7.78615 9.10791 8.55948 8.06069 9.44665 8.85137 8.31256 9.76322 9.12164 8.54363 10.05909 9.37189 8.75563 10.33560 9.60360 8.95011 10.59401 9.81815 9.12855 10.83553 10.01680 9.29224 1165358 10.67478 9.82258 12.40904 11 25778 10 27365 1333171 11.92461 10.75736 $1 Present Value of Annuity of $1 10.00% 0.90909 173554 248685 3.16987 3.79079 4.35526 4.86842 5.33493 5.75902 6.14457 6.49506 6.81369 7.10336 7.36669 7.60608 7.82371 8.02155 8.20141 8.36492 8.51356 8.64869 9.07704 9.42691 9.77905 11.00% 12.00% 0.90090 0.89286 171252 1.69005 2.44371 2.40183 3.10245 3.03735 3.69590 3.60478 4.23054 4.11141 4.71220456376 5.14612 4.96764 5.53705 5.32825 5.88923 5.65022 6.20652 5.93770 6.49236 6.19437 6.74987 6.42355 6.98187 6.62817 7.19087 6.81086 7.37916 6.97399 754879 7.11963 7.70162 7.24967 7.83929 7.36578 796333 7.46944 8.07507 7.56200 8.42174 7.84314 8.69379 8.05518 8.95105 8.24378 ON NO fin