document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1206996>Question 1206996</A>: <I><SPAN STYLE=\"word-break: break-all;\"> To expand its business, Kingston Outlet Factory would like to issue a bond with par value of <BR>\n" );
document.write( "₱1,000, coupon rate 10%, and maturity of 10 years. Calculate the bond amount given each of the <BR>\n" );
document.write( "required rate of return. <BR>\n" );
document.write( "a. 85%? b. 10%? c. 12% </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #844788 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=844788\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> par value of the bond is 1000<BR>\n" );
document.write( "coupon rate is 10% per year.<BR>\n" );
document.write( "maturity is 10 years.\r<BR>\n" );
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document.write( "if the required rate is 8.5%, the price of the bond will be 1098.42.<BR>\n" );
document.write( "if the required rate is 10%, the price of the bond will be 1000.<BR>\n" );
document.write( "if the required rate if 12%, the price of the bond will be 887.\r<BR>\n" );
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document.write( "this was found using the bond price calculator at <a  rel=nofollow HREF= \"https://www.fncalculator.com/financialcalculator?type=bondCalculator\" target = \"_blank\">https://www.fncalculator.com/financialcalculator?type=bondCalculator</a>\r<BR>\n" );
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document.write( "here's a result from the calculator at 8.5%.\r<BR>\n" );
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document.write( "you fill in the inputs and click on price.\r<BR>\n" );
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document.write( "to do the other rates, leave the other inputs as is and change the rate to 10 and 12 respectively.\r<BR>\n" );
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document.write( "there are financial formulas that allow you to do this manually, using a stand alone calculator, but i wouldn't bother doing that unless you are required to.\r<BR>\n" );
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document.write( "the results will be, and should be, the same as provided by the calculator.\r<BR>\n" );
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document.write( "annual coupon rate of 10% is based on the face value of the bond = .10 * 1000 = 100.\r<BR>\n" );
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