A $5000 semi-annual coupon bond paying interest at 7.7%/year compounded semi-annually is redeemable at par in 14 years. It is callable at 108 at the end of 7 years and at 104 at the end of 9 years. Determine the price to guarantee a yield rate of 8.7%/year compounded semi-annually.

Q: How long (in years) will it take to quadruple it earns 0.08 compounded semiannually?

A: Interest rate (r) = 0.08 Number of compounding per year (m) = 2 Future value factor required (FVF) =…

Q: A $3,000 bond with a 2.5% coupon compounded semi-annually is currently priced to yield 9% with 18…

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Q: A pair of earrings is priced at P30,000. A client made a down payment of P5,000 and promised to pay…

A: Price = P30,000 Down payment = P5000 Loan amount (PV) = 30000-5000 = P25,000 Interest rate = 3%…

Q: Compounding Frequency Periodic Payment Interval Nominal Rate Term Payment $150 1 month 6.5 10%…

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A: Let the cost in year n = Cn C1 = Php 4000 C2 = Php 4000 C3 = Php 4000 C4 = Php 4000 + Php 15000 =…

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A: Given, Information regarding the Quality Clothing, Inc.

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A: Deposit amount = $23844 Interest rate = 10% Period = 10 Years

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A: The Supernormal Growth Model is the model in which the value of the stock is measured through its…

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A: Given in this question we are required to calculate the NPV and the maximum amount of PJP.

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A: Annual amount received (A) = KRW 1,000,000 Discount rate (i) = 12% Number of annual receipts (n) = 4

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A: Last year EPS = $4.50 Payout ratio = 65% Last dividend (D0) = EPS*Payout ratio…

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A: Given , Price of the building = $100,000  Down Payment= $40000  Monthly Pay =$1000  Interest rate =…

Q: of retu State of Economy Вoom Normal Recession Probability .40 .30 Asset A 30% 0% -20% Asset B 20%…

A: Here,

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A: Given: Tax rate 30%     Particulars Debt Common shares Preferred shares Coupon rate/Dividend…

Q: You deposit $400 in an account earning 8% coumpound interest for 2 years. Find the future value and…

A: Given That: P=$400 r=0.08 t=2 years

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Q: The Sample Company discounts a $100,000 note receivable on 15 Máy 20x2. The following facts are…

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A: The Capital Asset Pricing Model is the model where we find out the effect of systemic risk on the…

Q: What is Simple Annuity? (payment interval, and interest period, time of payment, duration)

A: Given Simple annuity Payment interval Interest period Time of payment  Duration…

Q: What rate are you earning if you agree to pay $100 today for an IOU for $500 due in 20 years? A) 4%…

A: Here, Present value (PV) = $100 Future value (FV) = $500 Time to maturity = 20 years To Find: Rate…

Q: A firm is must choose to buy the GSU-3300 or the UGA-3000. Both machines make the firm's production…

A: Equivalent annual annuity is the annual income from machine considering the all cash flow and annual…

Q: A series of equal semi-annual payments of $2200 for 3 years is equivalent to what present amount at…

A: Given, Interest rate = 12 % per annum. Semi-annual Interest rate =122 = 6 %. Time period = 3 × 2 = 6…

Q: You receive a credit card application from Shady Banks Savings and Loan offering an introductory…

A: Given,

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A: Formula Voltality weekly = square root of week days * daily voltality

Q: McBertys have $20,000 in savings to use as a down payment on a new home. They also have determined…

A: Solved using Financial Calculator  a) If monthly payment is 1500 PV = +/-20,000 I/Y = 11/12 = 0.9167…

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A: Break even level is calculated as ratio of fixed costs and contribution margin per tire

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A: The price of share can be calculated by using this equation. P0 =D1/(1+r) +D2/(1+r)2+D3/(1+r)3…

Q: Interest is charged at a rate of 12% compounded mont

A: Principle amount= price - downpayment = 100000-40000 =60000   Pv=pmt*(1-(1+i)^n)/i

Q: 1. 1. The average variance of financial assets on a market is 0.4% and the average covariance tween…

A: Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only one…

Q: Find the monthly payment for the loan. (Round your answer to the nearest cent.) A $253,000…

A: The monthly payment can be calculated with the help of present value of annuity

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A: A risk-averse investor is the one who is more reluctant to the risk. This type of investor invests…

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Q: A company wants to have $30,000 at the beginning of each 6-month period for the next 4 1/2 years. If…

A: Semi annual payment = $30,000 Period = 4 1/2 = 4.50 Years Semi annual period = 4.50*2 = 9 Interest…

Q: ge of the machine is (10) years. Note: All amounts are in Add file

A: The time taken to recoup the price of an investment is referred to as the payback period.

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A: Amortization: Amortization means systematic write off the loan balance over the period of loan. At…

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Q: How much must Riley have in the account for Scott to receive the $220 payments for 5 years? If Riley…

A: A stream of equal cash flows paid or received periodically is termed as annuity. Annuity is either…

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A: Issued shares represents the total shares issued by the company  Outstanding Shares represents the…

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A: Share price: Share price is the current market price of the share. It is the price of the share at…

Q: A $13,000 loan is to be amortized for 10 years with quarterly payments of $414.98. If the interest…

A: Information Loan amount (PV) = $13000 Quarterly payment (P) = $414.98 Interest rate = 5% Quarterly…

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A:

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Q: price of American put

A: A put option refers to a type of contract in which the holder has the right to sell the equity…