A $1845 face value bond with an 116% coupon rate is issued. What amount of interest will the bondholders receive? (Show your calculations)
John has $35000 as savings and he wants to invest them. He has two options to invest in.
Option 1: This offers 5% interst rate for 5 years.
Options 2: This offers 3% interest rate for 8 years. As an expert of such investments, assist John which option should he choose for his investment. (Show your calculations)
