User Account

All Pages

Selling price is necessary for your total aud return

Assignment Help Finance Basics
Reference no: EM132509253

You have attempted to diversify internationallly by investing in overseas bonds. Assume you are based in Australia. Suppose you buy a UK bond with a coupon rate of 2.5% p.a., with semi-annual coupons. The bond's face value is GBP 1000 but you purchase it for GBP 992.2. Suppose the pound moves by 1.3% and you hold the bond for one year.

What year end selling price is necessary for your total AUD return to equal 9.3%?

Select one:

a. None of these options

b. 1059.474600

c. 894.577859

d. 1045.557354

e. {={1000}*(1+9.3/100)/(1+1.3/100)-2.5*1000/100}

Reference no: EM132509253

Questions Cloud

Define real estate loans and examine factors : Recognize the financial services offered by banks (credit, saving, and payment services) and Explain the major questions or issues that a bank must consider
Calculating the wacc of the company : The CFO of GHWS is calculating the WACC of the company. She collects the following facts:
Discuss why employees who are committed will be less : Identify what you thought was the most important concept(s), method(s), the term(s), and/or any other thing that you felt was worthy of your understanding.
How hypothesis testing and confidence intervals are used : Evaluate and provide examples of how hypothesis testing and confidence intervals are used together in health care research. Provide a workplace example.
Selling price is necessary for your total aud return : What year end selling price is necessary for your total AUD return to equal 9.3%?
Negligence and product liability are two of our main topics : Negligence and product liability are two of our main topics for this week. Negligence is an unintentional tort because it happens by accident.
What is the irr of the pjx5 : Caspian Sea Drinks is considering the purchase of a plum juicer - the PJX5. There is no planned increase in production. The PJX5 will reduce costs
Evaluation of national cancer registry national study : Using the national study of data as a supporting document, create a proposal of how to organize the institution's annual cancer registry report.
What role of preparedness should emergency management plan : Other than Law Enforcement security planners, what role of preparedness should emergency management planners take in getting ready for a fixed site event.

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!

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