Answer:
Value of the bond = $862.013
Explanation:
The value of the bond is the present value of the future cash receipts expected from the bond. The value is equal to present values of interest payment and the redemption value (RV).
Value of Bond = PV of interest + PV of RV
The value of the bond can be worked out as follows:
Step 1
<em>Calculate the PV of Interest payment
</em>
Present value of the interest payment
PV = Interest payment × (1- (1+r)^(-n))/r
Interest payment = $40
PV = 40 × (1 - (1.05)^(-12×2)/0.05)
= 40 × 13.7986
= 551.945
Step 2
<em>PV of redemption Value
</em>
PV of RV = RV × (1+r)^(-n)
= 1000 × (1.05)^(-12×2)
= 310.067
Step 3
<em>Calculate Value of the bond </em>
= 551.94567 + 310.067
=862.01
Value of the bond = $862.013
Answer:
Justified Alignment
Explanation:
The type of text alignment that is frequently seen in newspaper,magazines,and books(both the left and the right sides of the paragraph are perfectly straight).I'm sorry if it was wrong.
brainliest plz ;-;
A socially constructed category made up of people who share biologically transmitted traits
The student who is probably going to have the
most difficult time retrieving the information from long-term memory a few days
later would be:
“Alexander who repeats the fact to himself 10
times in a row.”
<span>Aside from Alexander, all other students are
using visual representation or other facts to help them remember the original
fact. The method of memorization
Alexander doing is very prone to be overlooked since he is storing it word by
word rather than trying to associate it with other easier things to remember.</span>