The Chesthut Street Company plans to issue $825,000, 10-year bonds that pay 7 percent semiannually on March 31st and September 30th. - Information relating to this bond is found below: Face Value: $ 825,000 Number of Years: 10 Stated Interest Rate: 7% Number of Payments per Year: . Required: Calculate or provide the information requested using a formula or cell reference unless 2 you are instructed to use a specific function: 3 Assume the Market Interest Rate is: 8% How many total payments or periods will this bond pay interest? 5 6 a. 7 8 b. 2 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. 0 1 2 Danastraction hot neatha MTAKTID functinn 1 Present Value of Annuity of $1 Bond Pricing 4 23c. 24 25 26 27 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. 28 d. 29 Calculate the amount of interest that will be paid on March 31st. 30 e. 31 32 Calculate the value of the interest payments that would be used when determining the bond selling price. 33 f. Calculate the selling price of this bond: 8 34 35 36 37 Using the IF function, show the word "Premium" or "Discount" based on the selling price you calculated in letter f. 38 2) Assume the Market Interest Rate is: 6% 39 40 41 42 43 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 38 2 Assume the Market Interest Rate is: 6% 39 40 a. 41 42 43 44 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. 45 b. 46 47 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. 48 49 50 C Calculate the amount of interest that will be paid on March 31st 51 52 d. 53 Calculate the value of the interest payments that would be used when determining the bond selling price. Calculate the selling price of this bond: 54 55. 56 57 58 59 Using the IF function, show the word "Premium" or "Discount" based on the selling price you calculated in lettere F G H J B D E TABLE4 Present Value of an Ordinary Annuity of $1 periods 1.00% 1.50% 2.00% 2.50% 1 0.99010 0.98522 0.98039 0.97561 2 1.97040 1.95588 1.94156 1.92742 3 2.94099 291220 2.88388 2.85602 4 3.90197 3.85438 3.80773 3.76197 5 4.85343 4.78264 4.71346 4.64583 6 5.79548 5.69719 5.60143 5.50813 7 6.72819 6.59821 647199 6.34939 8 7.65168 7.48593 732548 7.17014 9 8.56602 8.36052 8.16224 7.97087 10 9.47130 9.22218 8.98259 8.75206 11 10.36763 10.07112 9.78685 9.51421 5 12 11.25508 10.90751 10 57534 10.25776 13 12.13374 11.73153 11.34837 10.98319 1 1300370 12.54338 12.10625 11.69091 15 13.86505 1334323 12.84926 12.38138 16 14.71787 14.13126 13.57771 13.05500 17 15.56225 14.90765 14.29187 13.71220 18 16.39827 15.67256 14.99203 14.35336 19 17.22601 16 42617 15.67846 14.97889 20 18.04555 17.16864 16.35143 15.58916 21 18.85698 17.90014 17.01121 16.18455 25 22.02316 20.71961 19.52346 18.42438 30 25.80771 24.01584 22.39646 20.93029 40 32.83469 29.91585 27.35548 25.10278 1 Present Value of Annuity of $1 Bond Pricing ... READY Attempt(s) 3.00% 0.97087 1.91347 2.82861 3.71710 4.57971 5.41719 6.23028 7,01969 7.78611 8.53020 9.25262 9.95400 10.63496 1129607 11.93794 12.56110 13.16612 13.75351 14.32380 14.87747 15.41502 17 41315 19.60044 23.11477 3.50% 0.96618 1.89969 2.80164 3.67308 4.51505 5.32855 6.11454 6.87396 7.60769 8.31661 9.00155 9.66333 10.30274 10.92052 11.51741 12.09412 12.65132 13.18968 13.70984 14.21240 14.69797 16.48151 18.39205 21.35507 4.00% 0.96154 1.88609 2.77509 3.62990 4.45182 5.24214 6.00205 6.73274 7.43533 8.11090 8.76048 9.38507 9.98565 10.56312 11.11839 11.65230 12.16567 12.65930 13.13394 13.59033 14.02916 15.62208 17.29203 19.79277 4.50% 0.95694 1.87267 2.74896 3.58753 4.38998 5.15787 5.89270 6.59589 7.26879 7.91272 8.52892 9.11858 9.68285 10.22283 10.73955 11.23402 11.70719 12.15999 12.59329 13.00794 13.40472 14.82821 16.28889 18.40158 77% B F G C D E TABLE 3 Future Value of an Ordinary Annuity of $1 1 K L AN Periods 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 4.00% 4.50% 1 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 2 2.0100 2.0150 2.0200 2.0250 2.0300 2.0350 2.0400 2.0450 3 3.0301 3.0452 3.0604 3.0756 3.0909 3.1062 3.1216 3.1370 4 4.0604 4.0909 4.1216 4.1525 4.1836 4.2149 4.2465 4.2782 5 5.1010 5.1523 5.2040 5.2563 5.3091 5.3625 5.4163 5.4707 6 6.1520 6.2296 6.3081 6.3877 6.4684 6.5502 6.6330 6.7169 7 7.2135 7.3230 7.4343 7.5474 7.6625 7.7794 7.8983 8.0192 8 8.2857 8.4328 8.5830 8.7361 8.8923 9.0517 9.2142 9.3800 9 9.3685 9.5593 9.7546 9.9545 10.1591 10.3685 10.5828 10.8021 10 10.4622 10.7027 10.9497 11.2034 11.4639 11.7314 12.0061 12.2882 11 11.5668 11.8633 12.1687 12.4835 12.8078 13.1420 13.4864 13.8412 12 12.6825 13.0412 13.4121 13.7956 14.1920 14.6020 15.0258 15.4640 13 13.8093 14.2368 14.6803 15.1404 15.6178 16.1130 16.6268 17.1599 14 14.9474 15.4504 15.9739 16.5190 17.0863 17.6770 18.2919 18.9321 15 16.0969 16.6821 17.2934 17.9319 18.5989 19.2957 20.0236 20.7841 16 17.2579 179324 18.6393 19.3802 20.1569 20.9710 21.8245 22.7193 17 18 4304 19.2014 20.0121 20.8647 21.7616 22.7050 23.6975 24.7417 18 19.6147 20.4894 214123 22.3863 23 4144 24.4997 25.6454 26.8551 19 20.8109 21.7967 22.8406 23.9460 25.1169 26.3572 27.6712 29.0636 20 22.0190 23.1237 24.2974 25.5447 26.8704 28.2797 29.7781 31 3714 21 23.2392 24 1705 25.7833 27.1833 28.676530.2695 31.9692 33.7831 34.7849 37.5387 40.5681 43.9027 47.5754 51.6227 56.0849 61.0071 of $1 Present Value of Annuity of $1 5.00% 1.0000 2.0500 3.1525 4.3101 5.5256 6.8019 8.1420 9.5491 11.0266 12.5779 14.2068 15.9171 174230 19.3986 21.5786 23.6575 25.8404 28.1324 30.5390 33,0660 35.7193 66.4388 5.50% 1.0000 2.0550 3.1680 4.3423 5.5811 6.8881 8.2669 9.7216 11.2563 12.8754 14.5835 16.3856 18.2868 20.2926 22.4087 24.6411 26.9964 29.4812 32.1027 34.8683 37.7861 72.4355 30 Bond Pricing.... 77%