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12 November, 15:37

John Jimenez purchased a $5,000 bond at 90. The annual interest is 5%.

What was the cost of the bond?

What was the annual interest?

What is the yield (to nearest tenth of a percent) ?

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Answers (2)
  1. 12 November, 17:48
    0
    1. 4,500

    2. 250

    3. 5.6%
  2. 12 November, 19:00
    0
    1) 5000*90/100=4500

    2) 5000*0.05=250

    3) 0.05 / (90/100) = 5.6%
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