show steps for 9 and 10 they are related

10 points sava QUESTIONS Practice Calculating Present Value Consider corporate bonds with . PMT: a coupon rate of 5% that pay interest annually (the nature of these interest payments determines the compounding frequency of the bond- in this case it is annual compounding) N: 5 years to maturity (maturity means the bond contract is over) FV: a par value of $1.000 (this is what the bond is worth at maturity). . VY: the market rate of interest on similar debt is 16%. (the market rate reflects the riskiness of the debt instrument. when we discount the cash flows we want the rate we use for Y to capture risk. so the I/Y is often referred to as the market rate" or "discount rate") Find the value of these bonds (solve for PV) and round to the nearest dollar QUESTION 10 10 points Save A Now Practice PV again.... Consider bonds that pay annual coupons with a rate of 7% and a par value fo $1,000. These bonds will mature in 10 years The discount rate is 16%. Find the Present Value of these bonds (round to the nearest dolar) QUESTION 11 10 points Save And