JacionK609529 JacionK609529

27-10-2022
Mathematics

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7. The Sonoma Housing Authority is offering $10,000 bonds thatpay 4.2% annual interest. The quoted price of each bond is$102.125. Ron Kosciusko purchases 15 bonds through a brokerwho charges a 1.25% sales commission.a. What is the cost of the bonds including the commission?b. What is the total annual interest?c. What is the annual yield?d. What is the annual yield if you include the commission aspart of the cost?

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