If you invest $37000 into an account that pays 4% interest, compounded continuously, how much…

If you invest $37000
into an account that pays 4% interest, compounded continuously, how much….

If you invest $37000
into an account that pays 4% interest, compounded continuously, how much will
be in the account at the end of 5 years if you make no additional deposits or
withdrawals?

Present your answer as a
whole number to two decimals (including the $ symbol), e.g. $12345.67

(25% marks will be
deducted if the $ symbol is not provided).

Answer:

Assume a bond has a face
value of $1,000 and matures in 5 years. The bonds pay 2% coupon interest
semi-annually. Suppose you buy the bond for $950 and hold it to maturity. What
is your return on this bond?

Present your answer in
percentage to 3 decimal places (including the % symbol), e.g. 12.345%

(25% marks will be
deducted if the % symbol is not provided).

If you invest $37000
into an account that pays 4% interest, compounded continuously, how much…