5. In order to diversify your investing strategy, after graduation you decide to also invest annually...

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5. In order to diversify your investing strategy, aftergraduation you decide to also invest annually in Tesla, Inc. Youdecide to invest $300 every January 1st for 5 years in Tesla andthen when you are ready, you will sell this stock and buy yourfirst home.

Date Amount Price

2015 300 240

2016 300 213

2017 300 316

2018 300 333

(1 point) If you sell all of your stock today and the shareprice is $286, how much money did you receive for the sale of thatstock? (2 points) How much money do you Gain or Lose?

6. You decide you want to experiment a little with investing inbonds. Your grandma gives you $1,000 at graduation and you want toput it away in a safe place. You find a government bond to buy. a.(1 points) If the Annual Coupon Rate is 5%, what is your annualcoupon payment? b. (3 points) If you assume that the annualdiscount rate is 4% compounded annually, how much is the bond worthtoday?

Answer & Explanation Solved by verified expert
4.0 Ratings (815 Votes)
5 Here we will first compute the number of stocks bought over the period 2015 to 2018 No of stocks purchased 300240 300213 300316 300333 300286 555767 I have assumed that the last    See Answer
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5. In order to diversify your investing strategy, aftergraduation you decide to also invest annually in Tesla, Inc. Youdecide to invest $300 every January 1st for 5 years in Tesla andthen when you are ready, you will sell this stock and buy yourfirst home.Date Amount Price2015 300 2402016 300 2132017 300 3162018 300 333(1 point) If you sell all of your stock today and the shareprice is $286, how much money did you receive for the sale of thatstock? (2 points) How much money do you Gain or Lose?6. You decide you want to experiment a little with investing inbonds. Your grandma gives you $1,000 at graduation and you want toput it away in a safe place. You find a government bond to buy. a.(1 points) If the Annual Coupon Rate is 5%, what is your annualcoupon payment? b. (3 points) If you assume that the annualdiscount rate is 4% compounded annually, how much is the bond worthtoday?

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