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Fofino [41]
3 years ago
7

Whatever, Inc., has a bond outstanding with a coupon rate of 5.74 percent and semiannual payments. The yield to maturity is 6.1

percent and the bond matures in 20 years. What is the market price if the bond has a par value of $1,000
Mathematics
1 answer:
sveta [45]3 years ago
7 0

Answer:

current market price of the bond is $958.73

Step-by-step explanation:

given data

coupon rate = 5.74 percent

yield to maturity = 6.1 percent

bond matures = 20 years

future value = $1,000

solution

we get here PMT that is

PMT =  1,000 × 5.74% ÷ 2 ...............1

PMT = $28.70

and Number of Periods is

NPER = 20 years × 2 = 40  semi-annual periods

and here Rate of interest will be =  6.1% ÷ 2 = 3.05%

and we use here formula that is

= -PV(Rate;NPER;PMT;FV;type)

so we get

current market price of the bond is $958.73

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1/6

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5/6 - 4/6 = 1/6

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At 1 P.M., ship A is 150 km west of ship B. Ship A is sailing east at 35 km/h and ship B is sailing north at 25 km/h. How fast i
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<span>The distance between the ships is changing at a rate of 21.393 km/h

</span><span>Step 1: First, you must draw an image to help better understand the problem 
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The reason that ship A is moving -35km/h is because ship B acts as an "origin" and as things move closer to the "origin" they become negative and as things move away from the "origin" they become positive.

We know that the rate of Ship A is expressed as <span><span><span>dA</span><span>dt</span></span>=−35</span> and the rate of Ship B is expressed as <span><span><span>dB</span><span>dt</span></span>=25</span>

Step 2: We want to figure out how many km Ship A and Ship B traveled in 4 hours

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Now if we take this <span>−140km</span> and add it to the <span>150km</span> we can see that Ship A is now only <span>10km</span> away from where Ship B began

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This means that Ship B is now <span>100km</span> from where it originally started

We can now redraw our information

Step 3: We must use the Pythagorean Theorem to find the third side of the triangle

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Step 4: Now that we know z, we must differentiate the original equation in order to find the rate at which z in changing

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We can simplify by canceling out the 2's

<span>x<span><span>dx</span><span>dt</span></span>+y<span><span>dy</span><span>dt</span></span>=z<span><span>dz</span><span>dt</span></span></span>

Step 5: Write down all the information and then plug into equation

<span>x=10and<span><span>dx</span><span>dt</span></span>=−35</span>
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Now plug in the information

<span>x<span><span>dx</span><span>dt</span></span>+y<span><span>dy</span><span>dt</span></span>=z<span><span>dz</span><span>dt</span></span></span>

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