Drew has invested in Iwad Records. He owns three par value $1,000 bonds from them, which are currently
selling for 99.773. He also owns 600 shares of Iwad Records stock, the current value of which is $5.28 per
share. If, when Drew made his investment, Iwad Records bonds had a market price of 94.561 and stock in the
same company sold for $5.00 per share, which investment has increased in value more, and by how much?
(HINT: difference/original)
a. The value of Drew's bonds has increased by $4.83 more than the value of his stocks.
b. The value of Drew's bonds has increased by $9.87 more than the value of his stocks.
C.
The value of Drew's stocks has increased by $11.64 more than the value of his bonds.
d.
The value of Drew's stocks has increased by $34.92 more than the value of his bonds.