Rashard Bought Four Bonds with Face Values of $1,000 Each

question 14

Multiple Choice

Rashard bought four bonds with face values of $1,000 each, a simple interest rate of 5.4% per year,
And a maturity date 10 years after they were issued. He paid $4,725 three years after the bonds were
Issued. If he keeps the bonds until maturity, find his total profit, and his percent return per year.

• A)$1,435; 3.0% per year
• B)$6,160; 18.6% per year
• C)$1,435; 4.3% per year
• D)$6,160; 13.0% per year

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