e Insert X ゴ te I $ A Par Amount in Years Draw Page Layout Calibri (Body) BIU Service Annually (P+) B 20,000,000.00 20 11 1,000,000.00 office Update To keep up-to-date with security updates, fixes, and improvements, choose Check for Updates. x✓ fx Formulas Data • Α Α΄ с 1455 D E E LEVEL DEBT Year Review View Principal (P) G Tell me Coupon Wrap Text v Merge & Center Interest (0 v General $% 9 Debt Service (P+) 808 Tax Base with 2% H Cell Conditional Format Formatting as Table Styles K Operating Property Taxes Total T Insert v Delete v Format v 48.0. v 16 Sort & Ov Filter V M Debt Service Property Tax Rate Find & Select Share N Ideas Comment: Sensitivity Check for Update O P
e Insert X ゴ te I $ A Par Amount in Years Draw Page Layout Calibri (Body) BIU Service Annually (P+) B 20,000,000.00 20 11 1,000,000.00 office Update To keep up-to-date with security updates, fixes, and improvements, choose Check for Updates. x✓ fx Formulas Data • Α Α΄ с 1455 D E E LEVEL DEBT Year Review View Principal (P) G Tell me Coupon Wrap Text v Merge & Center Interest (0 v General $% 9 Debt Service (P+) 808 Tax Base with 2% H Cell Conditional Format Formatting as Table Styles K Operating Property Taxes Total T Insert v Delete v Format v 48.0. v 16 Sort & Ov Filter V M Debt Service Property Tax Rate Find & Select Share N Ideas Comment: Sensitivity Check for Update O P
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
Section: Chapter Questions
Problem 1PS
Related questions
Question
-
How much in reserves for debt service would you advise this city to have for this bond issue? Justify your recommendation.
Transcribed Image Text:Adams Excel Exercise 4.xls - Compatibility Mode – Saved to my Mac
c
AutoSave
OFF
Home
Insert
Draw
Page Layout
Formulas
Data
Review
View
O Tell me
2 Share
O Comments
v A A
Σ
I
Insert v
Calibri (Body)
11
ab Wrap Text v
General
Ex Delete v
A v v
$ • % 9
Conditional Format
Formatting as Table Styles
Paste
A
00
.00
Cell
Sort &
Filter
Find &
Select
BIUV
E Merge & Center v
Ideas
Sensitivity
H Format v
O Office Update To keep up-to-date with security updates, fixes, and improvements, choose Check for Updates.
Check for Updates
N6
fx
A
D
E
G
H
K
M
N
1
2
2 Bond Par Amount:
20,000,000.00
LEVEL DEBT
4 Term in Years:
20
5
6 Debt Service Annually (P +1):
1,000,000.00
Year
Principal (P)
Coupon
Interest ()
Debt Service (P+)
Tax Base with 2% Incr.
Operating Property Taxes
Total Taxes
Debt Service Propeorty Tax Rate
7
(DS)
8 Current Tax Base:
500,000,000,000
15,343,823.44
4,656,176.56
20,000,000.00
9
10 Operating Prop. Tax Rate:
11 per $100 valuation
1,200,000.00
1,204,000.00
338,535.53
500,000,000.00
510,000,000.00
0.40
661,464.47
0.18%
1,000,000.00
200,000.00
0.2000
0.2000
662,655.10
664,775.60
2
0.32%
337,344.90
1,000,000.00
204,000.00
0.1961
0.2039
12
3
0.56%
335,224.40
1,000,000.00
520,200,000.00
208,080.00
1,208,080.00
0.1922
0.2078
668.498.34
1,000,000.0o
530,604,000.00
1,212,241.60
0.1885
13
4
0.84%
331,501.66
212,241.60
0.2115
14
5
674,113.73
1.14%
325,886.27
1,000,000.00
541,216,080.00
216,486.43
1,216,486.43
0.1848
0.2152
15
6
681,798.62
1.42%
318,201.38
1.000.000.00
552,040,401.60
220,816.16
1,220,816.16
0.1811
0.2189
Level Debt
691,480.16
1,225,232.48
1,229,737.13
1,234,331.88
1,239,018.51
1,243,798.88
16
7
1.65%
308,519.84
1,000,000.00
563,081,209.63
225,232.48
0.1776
0.2224
17
1,200,000.00
702,889.59
1.93%
297,110.41
1,000,000.00
574,342,833.82
229,737.13
0.1741
0.2259
18
716,455.36
2.14%
283,544.64
1,000,000.00
585,829,690.50
234,331 88
0.1707
0.2293
19
1,000,000.00
10
731,78750
2.28%
268,212.50
1,000,000.00
597,546,284.31
239,01851
0.1674
0.2326
251,527.74
609,497,210.00
20
11
748,472.26
2.42%
1,000,000.00
243,798.88
0.1641
0.2359
800,00000
21
12
766,585.28
2.56%
233,414.72
1,000,000.00
621,687,154.20
248,674.86
1,248,674.86
0.1609
0.2391
600,00000
1,253,648.36
1,258,72133
786,209.87
213,790.13
634,120,897.28
253,648.36
22
13
2.70%
1,000,000.00
0.1577
0.2423
23
14
807,43753
2.82%
192,562.47
1,000,000.00
646,803,315.23
258,721.33
0.1546
0.2454
400,00000
830,207.27
659,739,381.53
672,934,169.16
24
15
2.94%
169,792.73
1,000,000.00
263,895.75
1,263,895.75
0.1516
0.2484
200,00000
25
16
854,615.37
3.05%
145,384.63
1,000,000.00
269,173.67
1,269,173.67
0.1486
0.2514
26
17
880,681.13
3.14%
119,318.87
1.000,000.00
686,392,852.55
274,557.14
1.274.557.14
0.1457
0.2543
0.00
27
1 2 3 4 5 6789 10 11 12 13 14 15 16 17 18 19 20
18
908,334.52
3.20%
91,665.48
1,000,000.00
700,120,709.60
280,048.28
1,280,048.28
0.1428
0.2572
1,285,649 25
1.291.362. 23
28
19
937,401.23
3.26%
62,598.77
1,000,000.00
714.123.123.79
285,649.25
0.1400
0.2600
Seriesi - Series2
29
20
967,960.51
331%
32,039.49
1,000,000.00
728,405,586.26
291,362.23
0.1373
0.2627
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
Level
Decreasing
+
+
86%
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