User Account

All Pages

Calculate the current value of the bond

Assignment Help Financial Accounting
Reference no: EM133022861

Question -

a) A Microsoft Corporation issued a bind that carries an 8% coupon rate paid semiannually. The per value (face value) is 1000 and the bond matures in 10 year and YTM is 11%. Calculate the current value of the bond?

b) A firm has 4 million in equity and 6 million in debt the YTM in the firm bond is 10% the expected return in the market is 16% the risk free rate is 8% and the firm beta is 1.5. If the firm tax rate is 40% what is the weighted average cost of capital (WACC).

Reference no: EM133022861

Questions Cloud

What elements must a plaintiff prove : What elements must a plaintiff prove to be successful in action against an auditor for negligence
Prepare the necessary adjusting entry : For each of the numbered paragraphs, prepare the necessary adjusting entry (including an explanation)
Calculate the book value of an asset : Reversing Rapids has a tax rate of 30%. The asset is sold at the end of year 4 for $13,886. Calculate the book value of an asset
Challenges relevant to implementing sustainable leadership : Critically discuss the challenges relevant to implementing sustainable leadership in an organisation or a team.
Calculate the current value of the bond : The per value (face value) is 1000 and the bond matures in 10 year and YTM is 11%. Calculate the current value of the bond
Calculate the amount of impairment and restructuring charges : Calculate the amount of the impairment and restructuring charges Checkpoint reported in 2004 and 2003. Discuss why the firm reported earnings
What is the maximum amount you should pay : What is the maximum amount you should pay to purchase a share of Angelina's stock if your goal is to earn a 14 percent rate of return
BUSI49623 Principles of Management Assignment : BUSI49623 Principles of Management Assignment Help and Solution, Nottingham Business School - Assessment Writing Service
What is the initial investment outlay : The company spent and expensed $150,000 on research related to the new project last year. What is the initial investment outlay

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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