Question

Fred Salmon purchased six $1,000 bonds at 92. The bonds pay 6.5%, what is the cost of the bonds

Answer 1

The cost of the bond
6×1,000×0.92=5,520

Answer 2

$5,520.00

Explanation:

Fred Salmon purchased six $1,000 bonds at 92. The bonds pay 6.5%, what is the cost of the bonds

Lets look at the question

What was the cost of the bonds?

He bought 6 $1,000 bonds, so 6 times 1,000 = 6,000. Nat the age of 92. Which means 6,000 x 0.92 to get $5,520.00