Answer:
The bonds sold at: $122,106,600 dollars
Explanation:
We will calculate the present value of the coupon payment and the maturirty at market rate of 7%
C 2.7(90 millions x 6% / 2 payment per year)
time 20 10 years and 2 payment per year
discounted at market rate: 7% divide by 2 payment per year: 0.035
PV 76.3551
Then present value of maturity:
Maturity 90.00
time 10 years
rate 0.07
PV 45.75
PV coupon $76.3551
PV maturity $45.7514
Total $122.1066
The average annual economic growth rate in Singapore over the 22.00 years from 1957 to 1979 was 3.20%.
<h3>What is average annual economic growth rate (AAGR) ?</h3>The average annualised return of a portfolio, asset, or cash flow over time is known as the average annual growth rate, or AAGR.
The basic arithmetic mean of a set of returns is used to calculate AAGR.
Calculation for average annual economic growth rate:
Real per capita GDP in Singapore in 1957 was about $400 and it doubled to about $800.00 by 1979 over the period of 22 years.
Growth rate =
The last value = $800
The initial value = $400
n = number of years
Growth rate =
=
= 1.032 - 1
= 0.032
Growth rate % = 0.032×100
= 3.2%
Therefore, the growth rate in Singapore over 22 years are 3.2%.
To know more about Gross domestic product (GDP), here
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