Explain how an inverse-floating-rate municipal bond

Assignment Help Accounting Basics
Reference no: EM13513546

Answer the below questions.

(a) Explain how an inverse-floating-rate municipal bond can be created.

(b) Who determines the leverage of an inverse floater?

(c) What is the duration of an inverse floater?

Reference no: EM13513546

Questions Cloud

Explain why you agree or disagree : Explain why you agree or disagree with the following statement: "At issuance, all municipal insured bonds are insured by monoline insurers with a triple A rating."
Compute the beat frequency produced by two standing waves : Standing waves are set up on two strings fixed at each end. The two strings have the same tension and mass per unit length, but they differ in length by 0.60 cm. Determine the beat frequency produced by the two standing waves
Define what is the partial pressure of the h2 is released : A volume of 1.86 L of H2 is trapped in a nuclear reactor at 870oC and 125 atm. What is the partial pressure (torr) of the H2 after it is released into a container vessel of 2.8 x 104 m3 at 25oC
What is the final speed of the other piece : A railroad car containing explosive material is initially traveling south at a speed of 4.5 m/s on level ground. The total mass of the car plus explosives is 2.5 104 kg. what is the final speed of the other piece
Explain how an inverse-floating-rate municipal bond : Explain how an inverse-floating-rate municipal bond can be created and who determines the leverage of an inverse floater?
Introductory physical anthropology : Introductory Physical Anthropology: Explain the Oldowan: what it is, why it's important, when and where it occurred, how it might relate to other derived human traits.
How long does it take to increase the speed of the train : A freight train has a mass of 1.7 × 107 kg. If the locomotive can exert a constant pull of 7.1 × 105 N, how long does it take to increase the speed of the train from rest to 64 km/h
State how would prepare 100.0ml of a solution : Explain how you would prepare 100.0mL of a solution, using pure solute and water, that is 0.050 M in sodium hydrogen phosphate.
Contemporary human environments and the environments : Explain: The evolutionry mismatch-especially in the dietary realm--between contemporary human environments and the environments where human phenotypes were designed by natural election

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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