User Account

All Pages

How much would be your total yield if the bond was sold

Assignment Help Finance Basics
Reference no: EM132000713

Bond with face value $1000, maturity 15 years coupon rate 5.5% per year payable semi-annually aand YTM 7% currently bond sells for $900. How much would be your total yield if the bond was sold today?

Reference no: EM132000713

Questions Cloud

Bond prices and the market interest rate : 1. Describe the relationship between bond prices and the market interest rate?
What is a financial institution that traditionally : What is a financial institution that traditionally specialized in SAVINGS account and mortgage LOANS but now offers many of the same services as commercial bank
Traditionally specialized in savings account : What is a financial institution that traditionally specialized in SAVINGS account and mortgage LOANS but now offers many of the same services as commercial bank
Period of time to earn a specific rate of return : Which is a savings alternative in which money is left on deposit for a stated period of time to earn a specific rate of return?
How much would be your total yield if the bond was sold : Bond with face value $1000, maturity 15 years coupon rate 5.5% per year payable semi-annually aand YTM 7% currently bond sells for $900.
What are expected profits based on expectations : Your business plan for your proposed start-up firm envisions first-year revenues of $90,000, fixed costs of $36,000, and variable costs equal to one-third
What is the balance at the end : What is the balance at the end of 10 years and how does it differ if the $1,200 is deposited at the end or the beginning of each year?
Predict systolic blood pressure : (a) Find a linear model for these data using age (x) to predict systolic blood pressure (y)
What is the present value of the bond : 17-year U.S. Treasury bond with a face value of $1,000 pays a coupon of 6.00% (3.000% of face value every six months).

Reviews

Write a Review

Finance Basics Questions & Answers

  What will be the optimal upper cash limit

HotFoot Shoes would like to maintain its cash account at a minimum level of $39,000 but expects the standard deviation in net daily cash flows to be $3,400, the effective annual rate on marketable securities to be 3.1 percent per year, and the tra..

  Prepare journal entry to record the retirement of the bonds

Marker Musical Products issued bonds with a face value of $100,000 and an annual stated interest rate of 8 percent on January 1, 2009. The effective interest rate on the bonds was 10 percent.

  Interactions among market efficiency and the cost of capital

Explain the interactions among market efficiency, capital budgeting, and the cost of capital.

  How can these rules be manipulated to make an investment

Compare the equity method of accounting to the fair value method for equity securities. In what cases would you use each? How can these rules be manipulated to make an investment appear different than it is? Is that ethical?

  Show the financial statement effects of the debt settlement.

The investments are worth $135,000 at the date of the debt settlement. Use the template below to show the financial statement effects of the debtsettlement.

  What is the equilibrium average rate of return on security k

What is the reward for waiting? What is the quantity of risk in Security K? According to the capital asset pricing model, what is the equilibrium average rate of return on Security K?

  Valuation of a declining growth stock

Maxwell Mining Company's ore reserves are being depleted, so its sales are falling. Also, because its pit is getting deeper each year, its costs are rising. As a result, the company's earnings and dividends are declining at the constant rate of 10..

  Identifying operating investing and financing transactions

Identifying Operating, Investing, and Financing Transactions: Microsoft (Easy) Microsoft Corp. reported the following in its annual report to the Securities.

  Recording and reporting financial information

Recording & Reporting Financial Information - You accrued the expense in #1- so the debit is to Wages payable not expense

  What specific role logistics play in supply chain operations

Compare the concept of a modern supply chain with more traditional distribution channels. Be specific regarding similarities and differences.

  What is the value of foggy stock to an investor

What is the value of Foggy's stock to an investor who requires a 16% rate of return?

  Find the yield-to-maturity for the bond

Arjen owns investment A and 1 bond B. The total value of his holdings is 2,042 dollars. Investment A is expected to pay annual cash flows to Arjen of 277.06

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