Question: A Rs 1 0 0 par value bonds bears a coupon rate is 1 2 percent and matures after 6 years. Interest is payable semi

A Rs 100 par value bonds bears a coupon rate is 12 percent and matures after 6 years. Interest is payable semi-annually. Compute the value of the bond if the required rate of return is 16 percent, compounded semi- annually.
A stock had returns of 9%,6%,4%, and 16% over the past four years. What is thesomeone offer you the following financial contract. If you deposit Rs 20,000 with him he promises to pay Rs 4000 annually for 10 years. What interest rate would you earn on this deposit?

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