1. Describe the value of a bond to someone who is unfamiliar with bonds?
2. Explain how a hospital's sensitivity analysis could be used to project or forecast a budget that is highly likely to change - the way that changing certain events may affect budgeting?
3. Assume you purchase a Harley-Davidson Corporation bond that pays 5 percent or annual interest of $50 and has a face value of $1000. Also, assume new corporate bond issues of comparable quality are currently paying 6 percent. What is the approximate market value?