User Account

All Pages

The annual ytm on a bond-equivalent basis is approximately

Assignment Help Accounting Basics
Reference no: EM13983639

Consider the following information on a bond for the next 2 problems: 

Coupon rate = 11%
Maturity = 18 years
Par value = $1,000
market price for this bond $1,169
First par call in 13 years
Only put date in five years and putable at par value

26. The annual YTM on a bond-equivalent basis is approximately:

a.7.099%
b. 9.077%
c.11%
d.10.23%
e.11.49%

27. Which of the following is false?

a.The PV of the total coupon payments is $966.663
b.The PV of the maturity value is $202.327
c.The bond is sold at a discount
d.The bond is sold at a premium
e.The bond price shows a capital gain 

Reference no: EM13983639

Questions Cloud

What is the current and potential difference across registor : What is the current and potential difference across R2? What is the current and potential difference across R3? What is the current and potential difference across R4?
Research- poverty in canada-an underclass in home soil : roposed Topic of Research: Poverty in Canada-An Underclass in home soil? Course description: The goal of this course is to introduce and critically discuss basic concepts, ideas, processes and themes that are central to Comparative Politics
Freedom of assembly : Discuss the extent to which this has been achieved in the UK. Illustrate your answer by reference to relevant sources of law.
The monthly household survey of unemployment : The monthly "household survey" of unemployment conducted for the Bureau of Labor Statistics of the U.S. Department of Labor for  is discussed athttp://www.bls.gov/news.release/empsit.nr0.htm.
The annual ytm on a bond-equivalent basis is approximately : Consider the following information on a bond for the next 2 problems: Coupon rate = 11% Maturity = 18 years Par value = $1,000. The annual YTM on a bond-equivalent basis is approximately.
Discuss between validity and reliability : Discuss between validity and reliability. Why does this issue matter? Think about this: Can research be valid, but not reliable? Can research be reliable, but not valid? Does this matter in your study? The word count has to be no less than 200 words.
What is the current through voltage across : What is the current through, voltage across, and power dissapated in R2? What is the current through, voltage across, and power dissapated in R3?
Identify and evaluate strategies for crisis management : Identify and evaluate strategies for crisis management. Your paper should focus on the information technology perspective in terms of crisis management.
What is the estimated monthly contribution margin per cable : What is the estimated monthly contribution margin per cable subscriber for CableVision in 2016? What are the estimated total monthly fixed costs for CableVision in 2016. What is CableVision's estimated monthly operating income in 2016 if 18,000 resid..

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.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  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!

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