$15,000 is deposited for 4 years in an account earning 8% interest. Calculate the future value of the investment if interest is compounded semiannually. ANS.$20,528.54   2.A bond with an $8000 face value has a 3.5% coupon and a 3-year maturity. What is the total of the interest payments paid to the bondholder? ANS.$840

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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  1. $15,000 is deposited for 4 years in an account earning 8% interest. Calculate the future value

of the investment if interest is compounded semiannually. ANS.$20,528.54

 

2.A bond with an $8000 face value has a 3.5% coupon and a 3-year maturity. What is the total

of the interest payments paid to the bondholder? ANS.$840

 

ANSWERS ARE GIVEN. I JUST NEED TO KNOW THE SOLUTION. THANKS

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