Question: Can someone please help me with this problem? Attached is an example to help. Thanks in advanced! Question 3 1 pts 3. A 1000 par

Can someone please help me with this problem? Attached is an example to help. Thanks in advanced!

Can someone please help me with this problem? Attached is an example

Question 3 1 pts 3. A 1000 par value 34-year bond with annual coupons is bought to yield an annual effective rate of 3.5%. The amount for amortization of premium in year 12 is 18. The book value of the bond at the end of year 12 is X. Calculate X. (7.c #05) A 1000 par value 20-year bond with annual coupons is bought to yield an annual effective rate of 7.5%. The amount for amortization of premium in year 15 is 24. The book value of the bond at the end of year 15 is X. Calculate X. [7.c #05] A) 1602B) 1525 C) 1551 D) 1577 E) 1628 Let K = coupon amount. Given info: 0 P = Ka 37/3.5% + 1000 V 34 Piz = (K-35) v23 = 18 Biz = x 0 1131 O 1168 01205 From : (K-35) 123 = 18 K = 74.71 0 1187 0 1150 so, Bi = 74.71 9 2713.5% +1000 vc - 1602.29) Question 3 1 pts 3. A 1000 par value 34-year bond with annual coupons is bought to yield an annual effective rate of 3.5%. The amount for amortization of premium in year 12 is 18. The book value of the bond at the end of year 12 is X. Calculate X. (7.c #05) A 1000 par value 20-year bond with annual coupons is bought to yield an annual effective rate of 7.5%. The amount for amortization of premium in year 15 is 24. The book value of the bond at the end of year 15 is X. Calculate X. [7.c #05] A) 1602B) 1525 C) 1551 D) 1577 E) 1628 Let K = coupon amount. Given info: 0 P = Ka 37/3.5% + 1000 V 34 Piz = (K-35) v23 = 18 Biz = x 0 1131 O 1168 01205 From : (K-35) 123 = 18 K = 74.71 0 1187 0 1150 so, Bi = 74.71 9 2713.5% +1000 vc - 1602.29)

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