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The following information is available on bonds: Type of bond: Equal payment bond ( annuity ) ( in point a ) . Type of bond:
The following information is available on bonds:
Type of bond: Equal payment bond annuityin point a
Type of bond: With equal installments in point c
Nominal value of principal: ISK.
Loan term years
Installments and interest paid annually every months
Nominal interest rate of the bond: no borrowing fee
a Show the installment and interest payments along with the total payments for each year for the equalization bond.
b Use Taccounts to describe the bond's transactions in point a debit and credit at the beginning and at each maturity date, ie interest, installments and amount to be paid.
c Answer part a assuming that it is a bond with equal installments instead of a lump sum bond.
d Set up graphs that show the payment processes free choice of graph type
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