Compute the interest rate for a $1,000 face value a bond that sells for $280 and matures in 20 years. The bond has no coupon payments, only the face value payment.
What will be an ideal response?
Using a financial calculator and inserting $280 for the present value, $1,000 for the future values, 20 for n, and solving for i, we can compute this to be 6.57%.
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If real GDP in a small country in 2015 is $8 billion and real GDP in the same country in 2016 is $8.3 billion, the growth rate of real GDP between 2015 and 2016
A) is 3.0%. B) is 3.6%. C) is 3.75%. D) cannot be determined from the information given.
Recent decades have seen an increased share of exports due to globalization. Globalization has occurred for a number of reasons. List three reasons and briefly describe their effect on globalization
Which of the statements below is primarily normative in nature?
A) There is an unequal distribution of income in the United States. B) The distribution of income is more unequal in the United States than it is in Japan. C) The inequality of income that exists in the United States is partly caused by an unequal distribution of wealth. D) The distribution of income in the United States should be more equal than it is.
In 2000, a major U.S. oil company began exploration off the southeastern coast of the United States. Suppose the company discovers huge reserves of natural gas. Using the aggregate demand/ aggregate supply model, predict what shifts will occur and what will happen to output and prices in both the long and short runs