Answer:
And if we convert this into % we got 
See explanation below.
Explanation:
We assume that we have compounding interest.
For this case we can use the future value formula given by:
Where:
FV represent the future value desired = 1000000
PV= represent the present value = 50000
i = the interest rate that we desire to find in fraction
n = number of times that the interest rate is compounding in 1 year, since the rate is annual then n=1
t = represent the number of years= 50 years
So then we have everything in order to replace and we got:
Now we can solve for the interest rate i like this:
And if we convert this into % we got
✦ ✦ ✦ Beep Boop - Blu Bot! At Your Service! Scanning Question . . . Code:
Green! Letters and Variables Received! ✦ ✦ ✦
-------------------------------------------------------------------------------------------------------------
Question: In the event of a robbery, what must you do?
--------------------------------------------------------------------------------------------------------------Answer: In the event of an armed robbery, instruct your staff to remain calm, alert and observant. Panic only heightens the danger involved. Emphasize that their safety and welfare is your primary concern. Money can be replaced, human life cannot. Here are a few tips to help educate and protect your staff in the unfortunate event of a robbery.
--------------------------------------------------------------------------------------------------------------
Answer:
The Price of Bond today = $997.07
Explanation:
Semi annual coupons = $1000 * 5% / 2
Semi annual coupons = $25
As 9 months is already over in the two year bond, the coupons are payable
3 months from now, 9 months from now and 15 months from now.
The present value of all these coupons and the principal should be equal to the price of the bond today. In case of continuous compounding, the formula for Present Value of any future Cash flow C is C*e^(-r*t).
Price of Bond = $25 * e^(-0.06*3/12) + 25*e^(-.061*9/12)+ 1025*e(-0.062*15/12)
Using the value of e as 2.71828
Price of Bond = $25 * 2.71828^(-0.06*3/12) + 25*2.71828^(-.061*9/12)+ 1025*2.71828(-0.062*15/12)
Price of Bond = $
25 * 2.71828 ^-0.015 + 25*2.71828^-0.04575 + 1025*2.71828^-0.0775
Price of Bond = $
25 * 1/2.71828^0.015 + 25*1/2.71828^0.04575 + 1025*1/2.71828^0.0775
Price of Bond = $997.07
