Question

3) Determine the value at the end of 3 years o certificate of deposit (CD) that pays a nominal annua pays a nominal annual interest rate of 8% co a) Quarterly b) Monthly f s3,500. If he only pays the APR of 12% on credit 4 Phillip has a credit card payment balance outstanding o minimum balance of $50 each month, and the credit card charges an card balances, how long will it take for Phillip to pay off his balance? )Kiran bought a car for $17,200. He financed the vehicle with a 36-month auto loan through the dealership, at an interest rate of 3% APR. a) What will be his monthly payments on the loan? b) What is the total amount he would have paid for the car at the end of the 36 months? Consider AlliedSignal Corporation's $1000 par value, 97/8% coupon bonds that mature on June 1, 2024. Assume that the coupon on these bonds is paid annually a) Find the value of these bonds as of June 1, 2018 to an investor whose required rate of return is 7%. What would be the value if the coupon was paid semi-annually? b) Southern Bell has issued $1000 par, 438 % coupon bonds that mature in 6 years. The coupons on these bonds are paid semi-annually. These bonds are currently trading at a price of $853.75. The bonds are callable in 2 years at a call price of $1000. a) Compute the Yield-to-Maturity (YTM) on the bonds. b) Compute the Yield-to-Call (YTC) on the bonds.