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20 October, 12:14

Sunni bought a $500 corporate bond. The bond pays 4.8% interest per year. If Sunni holds the bond for 15 years, how much will Sunni receive in interest?

A. $24

B. $140

C. $360

D. $480

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Answers (1)
  1. 20 October, 14:57
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    C, I believe.

    You multiply 4.8% by the 15 year bond to get 72%. Then, you turn 72% into a decimal by bringing the decimal behind the number up by two and get 0.72. After that, you multiply 0.72 by $500 and get $360.
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