question archive 1)FV continuous, monthly, simple The present value is $20,000, the term is 5 years
1)FV continuous, monthly, simple The present value is $20,000, the term is 5 years
Subject:AccountingPrice: Bought3
1)FV continuous, monthly, simple
The present value is $20,000, the term is 5 years. The interest rate is 10%. Calculate the future value FV based on simple interest, monthly compounded interest, and continuously compounded interest.
2) Bond PV, YTC
A bond is priced at 101 ($1,010), matures in 6 years, semiannual, has a coupon of 8% and is callable in 3 years at par. Provide the:
a. YTM (yield to maturity)
b. YTC (yield to call)
3)Weighted average portfolio ROI, and FV
A portfolio is valued at $500,000. 75% is in equity expected to earn 12% annually and 25% is in fixed income expected to earn 2.5% annually. Provide the expected value of the portfolio in 5 years.
