1. In a footnote on its 2015 annual report Hewlett Packard reported the following operating lease obligations (in $ millions): Year Amount 2016 11,352 2017 8,373 2018 7,429 2019 5,623 2020 3,558 After 2020 19,972 Calculate the present value of the future operating lease obligations, assuming a discount rate of 8%.
2. Black Jack Corporation has a bond issue outstanding with a 7% coupon with semi-annual payments, and 4 years remaining until maturity. If the bond has a par value of $1,000 and a yield to maturity of 4.5% what is the current market value of this bond? (Be sure to indicate your inputs to the financial calculator) N I/YR PV PMT FV Current Market Value=