Calculate the bond price

Assignment Help Finance Basics
Reference no: EM131992504

In February 2015 Treasury 3 3/8s of 2040 offered a semiannually compounded yield to maturity of 3.08%. Recognizing that coupons are paid semiannually, calculate the bond's price. Assume face value is $1,000. (Do not round intermediate calculations. Round your answers to 2 decimal Places)

Reference no: EM131992504

Questions Cloud

Access to target sources of external fiannce : Assessing a Company's Future Financial Health," what would you look for, for the following: Future external financing needs and access to target sources.
Financial benefits in not-for-profit healthcare firms : Describe briefly the estimating financial benefits in not-for-profit Healthcare firms
Discuss statement and comment on its validity : A financial plan has to be either a prediction about the future or a statement of goals; it can't be both. Discuss this statement and comment on its validity.
Compute glaxosmithkline weighted average cost of capital : Compute GlaxoSmithKline's weighted average cost of capital.
Calculate the bond price : Recognizing that coupons are paid semiannually, calculate the bond's price. Assume face value is $1,000.
What is the present value of investments a : What is the present value of investments A, B, and C if the appropriate discount rate is 10%?
Good indicator of a firm profitability : Are changes in profits alone a good indicator of a firm's profitability? What are the three measures of profitability that are commonly used.
Separate subnet for guest and lan network : Overview of Internetworking - Primary School Network Design with Guest Network - Identify the hardware - Switches and Routers Configuration details on hardware
Pros and cons with a married put strategy : What are the pros and cons with a married put strategy?

Reviews

Write a Review

Finance Basics Questions & Answers

  Develop a forecast of enrollment next semester

Enrollment in a particular class for the last four semesters has been 120, 126, 110, and 130. Develop a forecast of enrollment next semester using exponential smoothing with an alpha = 0.2.

  The balance sheet

A derivative is a financial instrument whose value is based upon another financial instrument, stock index or interest rate, or interest rate index.

  What is the net cash flow from the salvage value

Ronnie has been offered $52,000 for his old assets. What is the net cash flow from the salvage value if the tax rate is 34 percent?

  What are four new management processes mentioned in quote

How does a balanced scorecard assist in linking objectives with actions?- What are the "four new management processes" mentioned in the quote?

  Best estimate of the current stock price

The firm's required return (rs) is 12.0%. What is the best estimate of the current stock price?

  Developing the various asset-pricing models

The assumptions used in developing the various asset-pricing models are considered by some to invalidate the models. What is your opinion? Be sure to support your opinion with finance concepts.

  Which of the following would make for the greatest increase

A portflio expected return is 12% its standard deviaiton is 20%, and the risk-free rate if 4%. Which of the following would make for the greatest increase in the portfolio's Sharpe ratio?

  At what minimum stock price would you be willing to convert

You purchase a $1000 face value convertible bond for $975. The bond can be converted into 150 shares of stock. The stock is currently priced at $5.25. At what minimum stock price would you be willing to convert?

  Bommer ltd has just paid a dividend of 240 per share on

bommer ltd has just paid a dividend of 2.40 per share on its ordinary shares. the company is expected to maintain a

  Lee 2001 rejects the naive view of market efficiency

lee 2001 rejects the naive view of market efficiency. explain. if lee is correct what are the implications for capital

  Would you be willing to pay more or less for a stock on

would you be willing to pay more or less for a stock on average when the accounting information provided to you about

  Budgeting is an important internal activity preparing

budgeting is an important internal activity. preparing budgets involves forecasting sales and estimating costs. for

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