It should be Expand by distributing terms.
8
×
7
+
8
x
8×7+8x
2 Simplify
8
×
7
8×7 to
5
6
56.
56+8x
ANSWER: 56+8x
Answer:
Bond Price= $1,070.24
Step-by-step explanation:
Giving the following information:
Cupon= $80
Number of periods= 10 years
Face value= $1,000
Interest rate= 7%
<u>To calculate the price of the bond, we need to use the following formula:</u>
Bond Price= cupon*{[1 - (1+i)^-n] / i} + [face value/(1+i)^n]
Bond Price= 80*{[1 - (1.07^-10)] / 0.07} + [1,000 / (1.07^10)]
Bond Price= 561.89 + 508.35
Bond Price= $1,070.24
6/7
6/7 can't be simplified
Answer:
the annual payment received is 15.44
Step-by-step explanation:
The computation of the annual payment received is shown below:
As we know that
Perpetuity = Payment ÷ rate of return
$245.1 = Payment ÷ 6.3%
So, the payment is
= $245.1 × 6.3%
= 15.44
Hence, the annual payment received is 15.44
We simply apply the above formula so that the annual amount could come
I’m not sure if you are talking about about this but here it is hope this helps.
