Maturity makes a coupon payment

Maturity makes a coupon payment

Assignment Help Macroeconomics

Reference no: EM131502928

A $1,000 face value bond with a 20 year maturity makes a coupon payment of 10% every year and its on the market for its face value.

What is its yield to maturity?

a. 20%

b. 10%

c. 6%

d. 12%

Reference no: EM131502928

Questions Cloud

What amount will the coach receive : What amount will the coach receive?

Engineer is opening an individual retirement account : A 25-year old engineer is opening an individual retirement account (RRSP) at a bank.

What was the companys net cash flow that year : A company's after-tax income is $720,000 in an area where the corporate tax rate is 22%. What was the company's net cash flow that year?

What is the company receivables turnover : Aguilera Corp. has a current accounts receivable balance of $337,500. What is the company's receivables turnover?

Maturity makes a coupon payment : A $1,000 face value bond with a 20 year maturity makes a coupon payment of 10% every year and its on the market for its face value.

How much is the choice worth today : How much is the choice worth today?

What is its net income : Y3K, Inc., has sales of $6,199, total assets of $2,815, and a debt–equity ratio of 1.20. If its return on equity is 12 percent, what is its net income?

What is this firms debt-equity ratio : Zombie Corp. has a profit margin of 5.3 percent, total asset turnover of 2.4, and ROE of 19.84 percent. What is this firm’s debt-equity ratio?

What are dividends per share and book value per share : Makers Corp. had additions to retained earnings for the year just ended of $213,000. What are dividends per share? What is the book value per share?

Reviews

Write a Review

Required(*) Message

Macroeconomics Questions & Answers

How learning economies differ from economies of scale

Learning economies involve cumulative production over time and the economies of scale involves rate of production per period. Learning economies involve rising average costs and economies of scale involve falling average costs as a result of highe..

Why should we tax gasoline more

Why should we tax gasoline more? Organic Farmers See Green Both in Sustainability and Profits. Too much milk in Britain makes dairy farmers very angry. Is the milk market saturated?

Equation is linear or non-linear

How can you determine whether an equation is linear or non-linear?

Explain why do some economists argue that reduction

Explain why do some economists argue that reduction in the rate of taxation and capital gains can actually increase tax revenue collected from such gains.

Android-platform smart phones over iphones

Suppose in the market for iPhones, the following two changes take place: (1) the cost of making iPhones rises and (2) customers begin to prefer Android-platform smart phones over iPhones. What happens to equilibrium price and equilibrium quantity?

Social responsibility of business was to increase profits

In 1970 Milton Friedman argued that the only social responsibility of business was to increase profits. Compare and contrast the evidence Freidman presents to back up his claim with that provided in the Homer-Dixon article.

Harris todaro model

Assume the rural wage is $1 each day. Urban modern sector employment can be obtained with .25 probability and pays $3 each day. The urban traditional sector pays forty cents each day.

Short-run production process

Is it true that in a short-run production process, the marginal cost curve eventually slopes upward because firms have to pay workers a higher wage rate as they produce more output? Explain your answer.

Discuss the monetary policy trends of a country

In this assignment you will discuss the monetary policy trends of a country in the last 10 years and factors influencing the policy. You might like to build on the monetary policy of Canada that we studied in the class and as discussed in the text. Y..

Coke to ourconsumer what should we do if our goal

If it will cost us approximately $0.75/bottle to supply more Coke to our consumer what should we do if our goal is to maximize profit.

Popular way for the fed to control money supply

What is the most popular way for the fed to control money supply; reserve requirement, discount window, interest rates, or multiplier?

What is wrong with this argument

With a fixed exchange rate, there is thus no way of keeping wages and prices down - What is wrong with this argument?

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

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