Question: Answer problem and show work please 16. You are considering the purchase of an AT&P bond with a 12% coupon rate. Interest is paid and
16. You are considering the purchase of an AT&P bond with a 12% coupon rate. Interest is paid and compounded semiannually. The bond will mature in 10 years, and has a $1,000 face value. The bond currently sells for $897. Calculate the ANNUAL yield to maturity for this bond. PV FV PMT RATE NPER 17. You are considering the purchase of a 15-year $1,000 face value bond that pays interest of S90 annually. If you required a return of 10%, how much should you be willing to pay for this bond? FV PMT RATE NPER PV 18. Charlie Company is expected to grow at an annual rate of 6% indefinitely. The return on similar stocks is currently 14%. Charlie's board of directors declared a future dividend of S1.85 yesterday. What should a share of Charlie Company sell for? 19. What is the value of a share of Henley Inc. to an investor who requires a 13 percent rate of return if Henley's last dividend was $1.50? Assume earnings and dividends are expected to grow indefinitely at a rate of 7% per year
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