Last month jim purchased 11000 of us bonds face value these


Last month Jim purchased $11,000 of US bonds (face value). These bonds have a 26 maturity period, and they pay 1 percent interest every 3 months (i.e. the APR is 4%, and Jim receives a check for $110 every three months). But interest rates for similar securities have since risen to a 8% APR because of interest rate increase by the Federal Reserve Board. In view of the interest-rate increase to 8%, what is the current value of Jim's bonds? The current value of Jims bonds are?

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Business Economics: Last month jim purchased 11000 of us bonds face value these
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