Present value of the bond today

Assignment Help Finance Basics
Reference no: EM132354520

McAllister Inc sold a 5 year bond 3 years ago with a $70 coupon at par. If the current interest rate demanded by the market is 0.16, what is the present value of the bond today? The bond has a par value of $1,000.

Reference no: EM132354520

Questions Cloud

Describe the social work practice skills you developed : Describe the social work practice skills you developed. Explain how your next field education experience might address those areas.
Calculate the amount either debited or credited to retained : Calculate the amount either debited or credited to retained earnings. Enter as a negative number if retained earnings is debited and a positive number.
Prepare a chart or spreadsheet showing you review : Evaluate and make recommendations on the information and flow of documentation for the first set of templates that will be moved from paper to electronic
What is the role of your nursing leaders : What Performance Improvement (PI) projects are currently in place in your organization (past or present) to improve patient satisfaction and/or quality care?
Present value of the bond today : If the current interest rate demanded by the market is 0.16, what is the present value of the bond today? The bond has a par value of $1,000.
How can policy support technology in healthcare : How can policy support technology in healthcare? What policies currently exist and what role do nurses have in them? What strategies can nurses employ.
How much must you save each month to retire : You currently have no debt or savings. If you start making monthly deposits tomorrow in an index fund of the Wilshire 5000 and assume it will return 7%
Describe colorblind racism and new racism : Describe colorblind racism and new racism. Discuss social policy implications of erroneous beliefs that we live in a post-racial or colorblind society.
What is the effective annual rate on the credit card : A credit card charges an Annual Percentage Rate (APR) of 0.14 with 12 monthly payments. What is the Effective Annual Rate (EAR) on the credit card?

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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