Calculate the accumulation of discount

Assignment Help Finance Basics
Reference no: EM132245352

Megan buys a bond that is redeemable for its par value of 20,000 after 5 years. The bond pays coupons of 800 annually. The bond is bought to yield 8% annually. Calculate the accumulation of discount (principal) in the 4th coupon.

Reference no: EM132245352

Questions Cloud

High correlation exist between company social responsibility : Does a high correlation exist between a company's social responsibility and its competitive advantage and financial performance?
How can both scale and scope benefit both companies : How can both scale and scope benefit both companies? What immediate gains scale or scope occurred during/after the merger?
What is the firm fixed charge coverage : A firm has operating profit of $200,000 after deducting lease payments of $40,000. Interest expense is $60,000. What is the firm's fixed charge coverage?
Autocratic leadership style : The great majority of leadership I have encounter in the past 25 years of work experience have been Autocratic Leadership style.
Calculate the accumulation of discount : The bond is bought to yield 8% annually. Calculate the accumulation of discount (principal) in the 4th coupon.
What is the irr of offer : Suppose you are offered a project with the following payments:
What effect has the baby boom had on our prison system : What effect has the baby boom had on our prison system? What can we expect in the future? How do we prepare for these changes?
Identify a business that exists in an oligopoly market : Identify a business that exists and operates in an oligopoly market. What indicates by which competitive motif each company operates?
Revenues for the next 10 years : SoftTech Inc. is a small manufacturer of entertainment software that reported revenues of $25 million in the most recent financial year.

Reviews

Write a Review

Finance Basics Questions & Answers

  Determining the company stock today

Schiiller Corp will pay a $2.94 per share dividend next year, The company pledges to increase its dividend by 4.5 percent per year, indefinitely, If you require a return of 12 percent on your investment, how much will you pay for the company's sto..

  Shares of stock in a company based on inside

Buying shares of stock in a company based on "inside" or non-public information is illegal because it is thought to provide an unfair advantage.  However, some economists, including Milton Friedman, have argued that laws making insider trading ill..

  Determine reported net cash provided by operating activities

Metro Inc. reported net income of $150,000 for 2014. Changes occurred in several balance sheet accounts during 2014 as follows.

  Health and safety plan identifying health

Develop a health and safety plan identifying health and safety areas and actions that will need implementation as part of an effective health and safety

  Review real estate finance and investments

Prepare a 5-year forecast of Net Operating Income in a format similar to Real Estate Finance and Investments, Exhibit 10-18, or Exhibit 11-16. (McGraw-Hill Student Resources Excel Templates)

  A 20 year bond pays 6 on a face value of 1000 if similar

a 20 year bond pays 6 on a face value of 1000. if similar bonds are currently yielding 5 what is the market value of

  What rate of return did you earn on your investment

During the past year, the stock had paid a dividend of $0.54 and closed at a price of $11.47. What rate of return did you earn on your investment in Placo's stock? (Round to two decimal places.)

  Determine the present value of the geometric annuity

A workers compensation medical claim is set up to cover medical costs for the next 12 years. It will make an initial payment at time t=0 of $10,218.

  Defend the given statement

Defend the following statement: Once an innovation appears, it will remain even after the impetus for its development disappears.

  The continuously-compounded risk-free interest rate

A 10-month European call option on a stock is currently selling for $5. The stock price is $64the strike price is $60. The continuously-compounded risk-free interest rate is 5% per annum for all maturities.

  Two basic assumptions of technical analysis are that

two basic assumptions of technical analysis are that security prices adjusta. gradually to new information and study of

  Prepare an income statement and balance sheet in good format

Below find the trial balance for Nybrostrand Company. Prepare an income statement and balance sheet in good format. After you have completed the two statements comment on the success of the company. Support your answer with information from the finan..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd