Consider a 10-year bond with a coupon rate of 6 percent. If a bond with similar risk has a yield to maturity of 8 percent, estimate the bond’s fair market value. Select one: a. $1,000-$1,100 b. $900-$1,000 c. Less than $900 d. More than $1,100 g

c. Less than $900

Explanation:

For computing the bond fair market value we used the present value formula i.e to be shown in the attachment below:

Given that,  

Future value = $1,000

Rate of interest = 8%

NPER = 10 years

PMT = $1,000 × 6% = $60

The formula is shown below:

= -PV(Rate;NPER;PMT;FV;type)

After applying the above formula, the bond fair market value is $865.80

the correct answer is - no.

winnipeg, canada, is not further away from the equator than moscow, russia, in fact moscow is the city that is further away from the equator. moscow is on a latitude of 55.7558° north, while winnipeg is on a latitude of 49.8951° north, thus putting moscow by 5.8607° further away from the equator than winnipeg is.

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