$7.$ in $2007,$ Mr$.$ David $$an investor and one of Digital Studios bondholders$$ wanted to sell his bonds that he acquired back in $1997.$ What would be the current market price for the bond assuming the following term structure of similar risk bonds?

Time to maturity

YTM

$5$

$6\%$

$10$

$8\%$

$15$

$10\%$

A $ $742\mathrm{.}39$

B $ $539\mathrm{.}16$

C $ $806\mathrm{.}96$

D $ $957\mathrm{.}35$

$8.$ if Mr$.$ David owns $1000$ bonds, how much money would he receive in total by selling all his bonds?

$ $742,390$

$ $539,157$

$ $806,956$

$ $957,349$

$9.$ Mr$.$ David has an outstanding credit card payment of $ $20,000$ with APR of $6\%.$ If he is going to keep paying the minimum monthly payment of $ $250.$ How long will it take Mr$.$ David to pay off the entire credit balance?

$161\mathrm{.}75$ months

$102\mathrm{.}42$ months

$30\mathrm{.}17$ months

$67\mathrm{.}46$ months

$10.$ Mr$.$ David is $35$ years old and wants to save for his retirement. He decided to asve half the money that he got from selling his bonds at a portfolio that earns $3\mathrm{.}5\%.$ How much will he have in his retirement account when he turns $60?$

$ $1,131,225\mathrm{.}11$

$ $877,232\mathrm{.}99$

$ $794,265\mathrm{.}93$

$ $953,517\mathrm{.}36$

$11.$ Mr$.$ David wants to give his daoughter a gift when she turns $21.$ Currently she is $6$ years old. He is thinking of saving $ $1250$ a month in an investment that pays an annual rate of $4\%.$ How much will he gift her when she turns $21?$

$ $19,193\mathrm{.}43$

$ $307,613\mathrm{.}11$

$ $25,029\mathrm{.}48$

$ $363,447\mathrm{.}37$

$12.$ Now it is $2008,$ the whole market is struggling to overcome the financial crisis. Digital studios decided to adopt a constant dividends policy. The management announced that it is going to pay $$1\mathrm{.}5$ annual dividends indefinitely. What is the stock price if the required rate of return is $12\%?$

$ $55\mathrm{.}56$

$ $83\mathrm{.}33$

$ $41\mathrm{.}67$

$ $166\mathrm{.}67$