Answer:
(A) 5.24%
(B) 10.13%
Explanation:
To solve this we are going to use the the formula for compound interest
We are going to post the know values to get the rate
time = 1,973-1,794 = 179
rate = 5.2395%
and for the second period we are going to do the same
time = 2017 - 1973 = 44
rate = 10.1336%
Answer:
A. organic. just took this test last week
Explanation:
Government collects tax and distribuit it as budget to all locals and distrbuit as needed
Answer:
Yield to Maturity(YTM) = 3.47%
Explanation:
<em>The yield to maturity is the required rate of return (discount rate) that would equate the price of the bond and cash outflow expected from the bond. The yield on the bond can be determined as follows using the formula below: </em>
YTM = C + F-P/n) ÷ 1/2 (F+P)
YTM-Yield to maturity-
C- coupon
F- Face Value
P- Current Price
DATA
Coupon = coupon rate × Nominal value = 1,000 × 8%× 1/2=40(note we divide by 2 because interest is paid semi-annually)
n= 4×2 = 8 (note there 2 half months in a year)
Face Value = 1000
YM-?, C-40, Face Value - 1,000, P-103.75/100× 1000 = 1037.5
YM = (40 + (1000-1037)/8) ÷ ( 1/2× (1000 + 1037.5 ) ) =0.0347
YM = 0.0347
× 100 = 3.47%
Yield to Maturity = 3.47%