A family friend owns a private comany and wants to raise some cash. The company is not yet public so your friend wants to structure a 3 -year debt instrument that looks like a bond that can be sold. The deal is for each one of these that you buy today for $975, you will recieve every quarter a $110 payment. And at the end of the three years (after getting all those payments) you will get a final of $1,100 payment. What is the yield to maturity after this investment? please show work in excel.

Q: if $24 is is invested at a simple interest rate of 2% per year what was the account balance be after…

A:

Q: Your uncle still wouldn't help you after you found your new job. The bills are right this month, so…

A: Solution:- Your uncle still wouldn't help you after you found your new job. The bills are right this…

Q: Simon starts a retirement account where he will place $50 into the account on the first month and…

A: Given-  Ist month deposit= $50  2nd month deposit= $55 ... .... and so on.

Q: What lump sum of money must be deposited into a bank account at the present time so that ​$6,600 per…

A: Given that $6,600 per year can be withdrawn for 7  years, with the first withdrawal to start four…

Q: This "Future value" is the price you will sell the house for after you've owned it for ten years.…

A: When you take out a mortgage, you're essentially borrowing a lump sum of money (the loan amount or…

Q: The owners of Bardoza Greeting Cards wish to introduce a new line of cards but need to raise…

A: given p=$200,000t=10 yearsn=2r=7%  =7100  =0.07 first of all we will find the semannual interest…

Q: Suppose you have budgeted $ 1130 a month towards a mortgage. If you are offered a 30 year mortgage…

A: Given that, the monthly payment towards a mortgage is $1130, the number of years is 30 years and the…

Q: If an interest rate of 5% results in interest of $50, what is the principal amount of the loan?

A:

Q: Wendy has set up an ordinary annuity to save for a retirement home in 10 years. If her monthly…

A: Monthly payments = $400Ordinary annuity has an annual interest rate = 5.4%Time = 10 years

Q: Darius and Sierra (a mathematician) bought a home for $640,000. They made a 15% down payment and…

A: Loan amount =(Price of Home) -  (Price of Home) * (15% of Downpayment)…

Q: Penny makes deposits into two separate accounts for 2 years. Option A: $800; 6% annual simple…

A:

Q: Mitchell has been given the option of either paying his $800 bill now or settling it for $812 after…

A:

Q: Deer construction just purchased a new track hoe attachments costing 12500 dollars. The CFO John…

A:

Q: If you are selling your house with a local realtor who requires a 3% commission fee what can you…

A:

Q: A bond with face value $10,000 simple interest 6.45% and a term for 12 years is originally bought by…

A: Solution: Assuming Linda bought the bond on settlement date. Net profit for Linda = 11,400 + 645 +…

Q: Suppose you can afford to pay $300 a month for 6 years towards a new car with no down payment. If…

A:

Q: Suppose that you borrow ​$3000.00 from a friend and promise to pay back ​$4755.00 in 3 years.…

A: It is given that the principal is 3000, balance is 4755 and time is 3 years. The formula to evaluate…

Q: ABC inc,was created by 3 friends after graduating from NBCC business administration program.the…

A: For the first 5 years :Interest rate compounded quarterly :During the subsequent 15 years :The…

Q: Your company provides a 50% matching toward your retirement. If you deposit $200 each month into a…

A: