1. What is the expected net present value of -3.50 with probability of .20 npv 5.62 with probability of .45, and npv 11.34 with probability of .35? What is the standard deviation the total will vary by?
2. Grohl Co. issued 9-year bonds a year ago at a coupon rate of 11 percent. The bonds make semiannual payments. If the YTM on these bonds is 8 percent, what is the current bond price?
3. You are considering an annuity which costs $97,267 today. The annuity pays $6,100 a year. The rate of return is 4 percent. What is the length of the annuity time period? (Do not round intermediate calculations.)