Question
What is the current price of a 1000 par value bond maturing in 12 years with a coupon rate of 14 percent, paid semiannually, that
What is the current price of a 1000 par value bond maturing in 12 years with a coupon rate of 14 percent, paid semiannually, that has a YTM of 13 percent?
A. 604
B. 1090
C. 1060
D. 1073
Starting from year 5 a investment will pay a 5000 every year and it wll happen forever. Whats the present value of the cash flows, if the annual discount rate if 5%
A. 82,270.25
B. 100,000
C.78,352.62
D. 86,383.76
Five years ago you deposited 5000. Today the account balance is 6000. If the account paid interest compounded annually, how much interest on interest was earned?
A. 73
B. 92
C. 106
D. 152
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