This preview has intentionally blurred sections. Sign up to view the full version.
View Full DocumentThis preview has intentionally blurred sections. Sign up to view the full version.
View Full DocumentThis preview has intentionally blurred sections. Sign up to view the full version.
View Full DocumentThis preview has intentionally blurred sections. Sign up to view the full version.
View Full DocumentThis preview has intentionally blurred sections. Sign up to view the full version.
View Full DocumentThis preview has intentionally blurred sections. Sign up to view the full version.
View Full DocumentThis preview has intentionally blurred sections. Sign up to view the full version.
View Full DocumentThis preview has intentionally blurred sections. Sign up to view the full version.
View Full Document
Unformatted text preview: r (1+r) (10) . Ll are going to withdraw $1 000 at the end of each year for the next three
m that pays interest at a rate of 6% per year compounded annuany
Mano. will reduce to zero when the last withdrawal 15 made How much
' cam on the account in the second year? = I000 {(Ho W3 > Am“ ”I“ ﬁlm5C} : Email”). 0‘
 IQOQ "Jigcw 3133c
. 3 Your answer: ' 0* Tmea = $916 W YTM of this bond IS: M): 00,15
Wendi5% (W Your answer: am the equations you would use to determine the exact value of the YTM
above DO NOT SOLVE mewIan‘s dame what
“‘5’ W 59921291 Qgge few)cw1 when These {Med x)
ﬁrberage/ MphDId Me law OE
PM?) 4635 >211 . ' agreement settlement, the workers at UBC win receive
0'33 in ”'9 ﬁrst Year and 5% in the second year. mm mmﬂbethe Mintheirwages? /
(I‘I'ri) (I +Y’L) : I_ 03 x [05: [63"5 __l__ 8.1".‘3/ (i) me that during the ﬁrst year of this contract inflation is 1% and during the second
' m Maﬁon' Is at 2%. How much has an employee 3 purchasing power
Wdecreased over this period? 1+ mammal k f (I for 7/5 {CVLila?
”j + MfMﬁo/I ‘ ’ 1:]{2 LO? 7 003:?” MHWbmbEmJIﬂuwm
__ _mlﬂb¢1tbumdoummvw.__mw r: .. 1M éiﬁnanaalbamﬁmnm”
«xi€10.23 hm +0 Pa‘jﬁe rewamm‘j
mounfm +0 V I M W '
..... _ _ “r _ ._ out W Wﬂ if r}! (TLLLAE “it (52 “151 mi LLs‘Lf _ ' _ . _ gQUZ
’F Q‘DSL—IMH’Eg Darﬂ9ﬂ1+g3ucj 41“.?
' {27' M’ Wﬁﬁr rum/2 ﬂ ,br’iy 5M
(QM 94"» +010 (9/ #1,? {Li r'lﬁzéc. I (“me 3‘ VL'OM “(31; 15,1. 2:U1W1__ E
:3
W Per month. and is on . I wt 1'
he lottery to meet. Its total lottery obligation, dyeteﬁn‘iri‘g to . M ml)! Wynnant the winner WI" receive. ‘ j _ o l winner of this lottery puts ALL of the winnings into an account which also
_' month. how much will the winner have on the date they receive their last 53—51 of rr 5f" Wr
~35" (/*O')'°'I + 3212”! /Ulq / m
' . or . of” Me“ l' ”548%. '49]: mi 7'61?) teal
' ' use: , .mwma
LW'MKMWMOHEK \ IOOC)
Q+f>iq
woo
r 049'}?! + ”(MmWm of
' vuumulummorrho
_mwmumupum oPPcsrvaffj
in a market 2 gaining
From Sﬁllintj good; +hﬂ* ghowld (mg ...__ OH“: __ . _ an Winn mica: above, is the propo ed price of this new bgﬁa‘mﬁ .
_ MW m tBGhanue and provide convincing and detailed evidence to .. 4;
at» (am—c905) + (ocooy ., 42cm)
“(5690.5 +{0G301j : 42w; ~(ﬁmocp
"5"ij =1 “2500
_ ‘Lj "f mm W a coupon rate of 10%” is currently selling for is $1 000 and mate am 6 years remaining to
M tomaturﬂy' :3 correct. I'l mu nanpaw mom and be
uni mania m 13" my. _:§I=3f‘Fﬂk~“ LN ts. CW nut—n (244:9. Winn I ' mwm.muld8m's account balancconher 13"”
' j _1mwmmwmm's? mumcom ' r niawﬁmeldwvhbouwn a
ayeidmmamnty(YTM)0165%. all and: tuned him to so" the be: today. Did this hurt Marvin mammmmmmm. _
016.5%? mm a brief 900mm MK”? WW‘ " /’ r arr—W” ~h;
1:“)?1' // (Iv “5 M
, MW e c
{'1 '3' “I t
j‘ r’) 16") x’ r
m~ 1/
Us”,
l
3/ ’
I’VE"A .
r 1/”
5/]
r" ...
View
Full Document
 Spring '09
 FREEDMAN

Click to edit the document details