1. Your company wants to raise ?$10.5 million by issuing 25?-year ?zero-coupon bonds. If the yield to maturity on the bonds will be 5%? (annual compounded APR?), what total face value amount of bonds must you? issue? The total face value amount of bonds that you must issue is ?$.....?(Round to the nearest? cent.)
2. You are considering putting $2,000 in a savings account that pays 11 percent in interest each year. You plan to leave the money in the account until you retire in 35 years.
What will your account be worth when you retire in 35 years?