Have they been perceived as positive or negative changes

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1. What types of changes have financial markets experienced during the last two decades? Have they been perceived as positive or negative changes? Explain.

2. Explain the rationale for why anyone would choose to buy a zero coupon bond that pays no interest prior to maturity and pays only the face value of the bond at maturity.

3. Jacob borrows $20,000 on January 1, 1993, to be repaid in 360 monthly installments at a nominal annual interest rate of 7.5% convertible monthly. The first payment is due February 1, 1993. Jacob misses the first payment, but makes payments #2 to #360 on time. Determine how much Jacob still owes on the loan after making payment #360.

Reference no: EM132002091

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