BAD-312 CASE STUDY PROJECT

Gwen Moore
July 25, 2014
PART A
Chapter 7 Integrated Case (#7-21), page 254
d. A bond's value is determined by the present value of the cash flows the assest is
expected to produce. Example: V
B
= INT + INT +. . . + INT + M
(1 + r
d
)
1
(1 + r
d
)
2
(1 + r
d
)
N
(1 + r
d
)
N

= N INT + M
t = 1 (1+ r
d
) (1 + r
d
)
N

e.
f.
g.
h.
i.
j.
k.
Chapter 8 Integrated Case (#8-23), page 295 - 296
b.
i.
Chapter 9 Integrated Case (#9-23), page 328
c.
d.
e.
f.
g.
h.