Answer:
a. $849.45
Step-by-step explanation:
In the above question, we are given the following information
Coupon rate = 10%
Face value = 1000
Maturity = n = 20 years
t = number of periods = compounded semi annually = 2
Percent yield = 12% = 0.12
Bond Value formula =
C/t × ([1 -( 1/ 1 + r/t)-^nt ÷] r/t) +( F/ (1 + r/t)^nt)
C = coupon rate × face value = 10% × 1000 = 100
Bond value:
= 100/2 × ( [1 - (1 /1 + 0.12/2)^-20×2]÷ 0.12/2)+ (1000/( 1 + 0.12/2)^20×2
= 50 × ( [1 - (1 /1 + 0.06) ^40] ÷ 0.06) + ( 1000/ (1 + 0.06) ^40
= 50 × ( [1 - (1/ (1.06) ^40] ÷ 0.06 ) + (1000/(1.06)^40)
= 50 × 15.046296872 + 97.222187709
= $849.45
Bond value = $849.45
Answer:
BE = 22.4 cm
Step-by-step explanation:
Δ CAB and Δ CDE are similar , then ratios of corresponding sides are equal, that is
=
, substitute values
=
( cross- multiply )
8 CE = 128 ( divide both sides by 8 )
CE = 16 cm
Then
BE = BC + CE = 6.4 + 16 = 22.4 cm
setup a simple algebraic equation and solve.
5x = 7x-28
-5x -5x
0=2x-28
+28 +28
28=2x
Now divide both sides by 2 and you get that she is 14