Finite Mathematics
7th Edition
ISBN: 9781337280426
Author: Stefan Waner, Steven Costenoble
Publisher: Cengage Learning
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Chapter 2.2, Problem 39E
Exercises 37–42 are based on the following table, which lists several corporate bonds issued during the second quarter of 2015.14 Treat these as zero coupon bonds, as in Example 2.
| Company | AT&T | Bank of America | General Electric | Goldman Sachs | Verizon | Wells Fargo |
| Time to Maturity (years) | 10 | 10 | 2 | 3 | 8 | 7 |
| Annual Compound Interest Rate (%) | 2.97 | 3.42 | 5.12 | 5.81 | 4.41 | 3.18 |
If you bought AT&T bonds with a maturity value of $10,000, how much did you originally pay? [hinT: See Example 2.]
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Chapter 2 Solutions
Finite Mathematics
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