All categories

2 years ago

A $1,000.00 bond at 85 1/4 % pays 6.8 % annual interest. Calculate cost of bond.

Mathematics

1 answer:

stepladder [879]2 years ago

8 0

Based on the par value of the bond and the percentage it was issued at, the cost of the bond is $852.50.

The current cost of the bond is the present value of the bond's cashflows and its par value.

This is taken into account when the bond is issued at a certain percentage which in this case is 85 ¹/₄%.

The cost of the bond is:

= 1,000 x 85 ¹/₄%

= $852.50

Find out more on the cost of bonds at brainly.com/question/15567868.

#SPJ1

You might be interested in

Assume that all conditions are met. The mean of the differences was 1. 33 and the standard deviation of those differences was 2.

Maurinko [17]

The test statistic for this procedure is using two sample T-test is 0.458.

Definition of Two Sample T-test

A variation of the Student's t-test used to determine if two sample means are substantially different is known as the two sample T-test (also known as Welch's t-test, Welch's adjusted T, or unequal variances t-test). The test's degrees of freedom have been changed, which generally boosts the test's power for samples with unequal variance.

T-Test Statistic for The Procedure

It is given that mean of the differences = 1.33

And, the standard deviation of the differences, standard error = 2.90

The test static formula is given as,

t = (estimate - hypothized value) / standard error

Here, t is the t- test statistic, and estimate is the mean of the differences.

Since it is given that all conditions are met, the hypothized value can be taken as 0

Substituting substituting estimate = 1.33 and standard error = 2.90 in the t-test statistic formula, we get,

t = (1.33-0)/2.90

or t = 0.458

learn more about t-test here:

brainly.com/question/14128303

#SPJ4

8 0

2 years ago

Given the equation F=9/5C +32 where C is the temperature in degrees Celsius and F is the corresponding temperature in degrees Fa

pentagon [3]

Answer:

Step-by-step explanation:

7 0

2 years ago

Find the slope of the following points. (-20,-4) (-12,-10)

beks73 [17]

m = −3/4 is the correct answer. Hope this helps!

3 0

3 years ago

If f(x) = 6x-11, what is f(-6)?

In-s [12.5K]

If f(x) = (6x-11), then f(-6) = -47.

We are provided in the question statement with a function "f(x)" whose output is a polynomial of 1 variable and degree 1.

To obtain the value of f(-6) from the output polynomial of the function f(x), we will simply need to substitute (-6) as the value of x in the polynomial and calculate the final value.

So,

$f(-6)=[(6*(-6))-11]\\or, f(-6)=(-36-11)\\or, f(-6)=-(36+11)\\or, f(-6) =-47$

Hence, f(-6) = -47.

Polynomial: In mathematics, an expression of more than two algebraic terms, especially the sum of several terms that contain the same variable(s) of different powers and individual, distinct co-efficients.
Function: In Mathematics, a function is an operator which on taking input, provides a certain output.

To learn more about Polynomials and Functions, click on the link below.

brainly.com/question/26910958

#SPJ9

5 0

1 year ago

PLEASE HELP 30 POINTS

ki77a [65]

4

one of the functions equals 0 while the other equals 4

0+4=4

8 0

3 years ago

Read 2 more answers