Question: *** I NEED HELP WITH THE INTEREST/PRINCIPAL PRESENT VALUES & PRICE OF BONDS ***** Complete the below table to calculate the price of a $1.1


*** I NEED HELP WITH THE INTEREST/PRINCIPAL PRESENT VALUES & PRICE OF BONDS *****
Complete the below table to calculate the price of a $1.1 million bond issue under each of the following Independent assumptions (FV of $1. PV of $1. FVA of $1. PVA of $1. FVAD of $1 and PVAD of $1 (Use appropriate factor(s) from the tables provided. Enter your answers in whole dollars.): 1. Maturity 15 years, Interest paid annually, stated rate 8%, effective market) rate 12% Table values are based on: 15 12.0% Cash Flow Amount Interest $ 88,000 Principal $ 1,100,000 Price of bonds Present Value Maturity 15 years, Interest pald semiannually, stated rate 8%, effective market) rate 2-12% Table values are based on: 30 6.0% Cash Flow Amount Interest S 44,000 Principal $ 1,100,000 Price of bonds Present Value Maturity 5 years, Interest paid semiannually, stated rate 10%, effective (market) rate 3.8% Table values are based on: 101 Present Value i= Cash Flow Interest Principal Price of bonds 4.0% Amount 55,000 1,100,000 $ $ Maturity 10 years, Interest pald semiannually, stated rate 10%, effective (market) rate 4.8% Table values are based on: 20 4.0% Cash Flow Amount Interest $ 55,000 Principal $ 1,100,000 Price of bonds Present Value Maturity 10 years, Interest pald semiannually, stated rate 10%, effective market) rate 5.10% Table values are based on: 20 i = Present Value Cash Flow Interest Principal Price of bonds 5.0% Amount $ 55,000 $ 1,100,000
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
