Suppose on this day the prices for 29 of the stocks


1. Suppose the interest rate is 8.6 % APR with monthly compounding. What is the present value of an annuity that pays $ 100 every three months for six ?years? ?(Note: Be careful not to round any intermediate steps less than six decimal? places.)

The present value of the annuity is $______

2. On October 28, 2015, the DJIA opened at 13,363.61. The divisor at that time was 0.132597739. Suppose on this day the prices for 29 of the stocks remained unchanged and one stock increased $5. What would the DJIA level be at the end of the day? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

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Financial Management: Suppose on this day the prices for 29 of the stocks
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