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Calculations involved with pricing bond and stock

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Reference no: EM131612137

1. What is the relationship between Bonds and interest rates?

2. What are the calculations involved with pricing a bond and a stock?

3. Choose a stock that is publicly traded and explain how you think the future potential of the stock warrants the price it sells at today – please explain and support with terms and concepts from this class material?

4. Calculate the current return on a stock of your choice and compare it to returns on bonds. Which is better to invest in presently a stock or a bond in this company and why?

Reference no: EM131612137

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