Last month Jim purchased $10,000 of U.S. Treasury bonds (their face value was $10,000). These bonds...

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Last month Jim purchased $10,000 of U.S. Treasury bonds (their face value was $10,000). These bonds have a 10-year maturity p

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Answer 1

Answer #1

Computation for current value of bonds:

Assuming quarterly MARR = 1.5%

= $150(P/A, 1.5%, 120) + $10,000(P/F,1.5%,120)

= 6659.81 + 1675.23

= 8335.05

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Answer 2

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