Question

(1 point) A treasury bond has a face value of $14000, semi-annual coupons paid at the annual rate of 3% compounded semi- annu
0 0
Add a comment Improve this question Transcribed image text
Answer #1

Facts given in this question : Purchase price 12150, Coupon rate is 3%, Compounding is semi annual, Face value is 14000

  1. Future value is calculated below by using the data available :
    Current Principal: $12,150.00
    Annual Addition: $ 420.00
    Years to grow:                               7.00
    Interest Rate (Risk free rate considered)                                 2.00
    Compounding continously 9999 times annually
    Future value $ 17,131.57
Add a comment
Know the answer?
Add Answer to:
(1 point) A treasury bond has a face value of $14000, semi-annual coupons paid at the...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT