How much is the current market value of the note

Reference no: EM131883822

Question: 1. Peyton Corp lends Eli Corp $10,000 in exchange for a $10,000, three-year note bearing interest at 10 percent annually. The market rate of interest for a note of similar risk is also 10 percent. How much is the current market value (selling price) of the note.

2. Peyton Corp lends Eli Corp $10,000 in exchange for a $10,000, three-year, zero-interest-bearing note. The market rate of interest for a note of similar risk is also 9 percent. How much is the current market value (selling price) of the note.

3. Peyton Corp lends Eli Corp $10,000 in exchange for a $10,000, three-year note bearing interest at 10 percent annually. The market rate of interest for a note of similar risk is 12 percent. How much is the current market value (selling price) of the note.

Reference no: EM131883822

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