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.
please use cell references when showing answers or type out formulas thank you!
Sign in FILE 4 HOME Calibri % Bond Pricing - Excel INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW 11A A U - - - A - Alignment Number Conditional Format as Cell - Formatting Table Styles Font Styles - Paste B I Cells Editing Clipboard G31 co issue 5:50. save tons 1 The Chestnut Street Company plans to issue 5825,000, 10-year bonds that pay 7 percent 2 semiannually on March 31st and September 30th. 4 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: 8% How many total payments or periods will this bond pay interest? 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. 13.59033 - - - - - - - - - - - - - ... 1 Present Value of Annuity of $1 Bond Pricing ... READY -- + 100% Attempt(s) 5/10 ? E x 9. . HOME - Sign in FILE INSERT Bond Pricing - Excel FORMULAS DATA PAGE LAYOUT REVIEW VIEW B I - Cells Editing Paste Clipboard G31 U- Font -A- Alignment Number Conditional Format as Cell Formatting Table Styles Styles the result you calculated in question a. Your function should look for an exact match to the value used in the Lookup_value argument. 13.59033 Calculate the amount of interest that will be paid on March 31st. S 28,875 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. Assume the Market Interest Rate is: 6% 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 14 87747 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. ... 1 Present Value of Annuity of $1 Bond Pricing ... S . HOME R. INSERT Bond Pricing - Excel FORMULAS DATA ? E - EX Sign in FILE PAGE LAYOUT REVIEW VIEW - Paste B I U- - A- Alignment Number Cells Editing Conditional Format as Cell Formatting Table Styles Styles Clipboard G31 the appropriate future or present value table (found in worksheets included in this workbook) that would be used to calculate the bond interest payments 14.87747 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. Calculate the amount of interest that will be paid on March 31st. S 28.875 Us 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. ... 1 Present Value of Annuity of $1 Bond Pricing ... READY - + 100% Sign in FILE 4 HOME Calibri % Bond Pricing - Excel INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW 11A A U - - - A - Alignment Number Conditional Format as Cell - Formatting Table Styles Font Styles - Paste B I Cells Editing Clipboard G31 co issue 5:50. save tons 1 The Chestnut Street Company plans to issue 5825,000, 10-year bonds that pay 7 percent 2 semiannually on March 31st and September 30th. 4 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: 8% How many total payments or periods will this bond pay interest? 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. 13.59033 - - - - - - - - - - - - - ... 1 Present Value of Annuity of $1 Bond Pricing ... READY -- + 100% Attempt(s) 5/10 ? E x 9. . HOME - Sign in FILE INSERT Bond Pricing - Excel FORMULAS DATA PAGE LAYOUT REVIEW VIEW B I - Cells Editing Paste Clipboard G31 U- Font -A- Alignment Number Conditional Format as Cell Formatting Table Styles Styles the result you calculated in question a. Your function should look for an exact match to the value used in the Lookup_value argument. 13.59033 Calculate the amount of interest that will be paid on March 31st. S 28,875 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. Assume the Market Interest Rate is: 6% 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 14 87747 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. ... 1 Present Value of Annuity of $1 Bond Pricing ... S . HOME R. INSERT Bond Pricing - Excel FORMULAS DATA ? E - EX Sign in FILE PAGE LAYOUT REVIEW VIEW - Paste B I U- - A- Alignment Number Cells Editing Conditional Format as Cell Formatting Table Styles Styles Clipboard G31 the appropriate future or present value table (found in worksheets included in this workbook) that would be used to calculate the bond interest payments 14.87747 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. Calculate the amount of interest that will be paid on March 31st. S 28.875 Us 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. ... 1 Present Value of Annuity of $1 Bond Pricing ... READY - + 100%
