Assume a $1,000 face value bond has a coupon rate of 7.2 percent paid semiannually and has an eight-year life. Required:
a. If investors are willing to accept a 10.3 percent rate of return on bonds of similar quality, what is the present value or worth of this bond?
b. What is the value of the bond if investors wanted an 6.7-percent rate of return?

You park your car on sixth street and walk over to the quad for lunch. while crossing wright street, you are hit by a bicyclist and knocked to the ground. you hit your head so hard you are knocked out. when you wake up, the person who hit you is gone. you incur $45,000 in medical bills. the person who hit you would be liable for $150,000 in damages if you could find them. your policy will pay: