User Account

All Pages

What happens to the bonds

Assignment Help Finance Basics
Reference no: EM132774785

A 30-year Treasury bond is issued with par value of $1,000, paying interest of$80 per year. If market yields increase shortly after the T-bond is issued, what happens to the bonds?
1. Coupon rate
2. Price
3. Yield to maturity
4. Current yield

Reference no: EM132774785

Questions Cloud

What is the equivalent rate per year : What is the equivalent rate per year with continuous compoundingquarterly that can generate the same future value as annual interest rate r = 11% per year with
Where will tesla be trading in one year time : Tesla shares are trading at 850. The one year forward is trading at 1200. Where will Tesla be trading in one year's time?
Explain the statutory law with example : What worker and employer rights and obligations flow from common law and from statutory law? The response must be typed.
Why is it an important area of financial management : Time value of money has a number of components associated with its meaning. What is the meaning of time value of money?
What happens to the bonds : A 30-year Treasury bond is issued with par value of $1,000, paying interest of$80 per year. If market yields increase shortly after the T-bond is issued, what h
What is real rate of return : What is the rate of return on your investment for these end-of-year stock prices? What is your real (inflation-adjusted) rate of return? Assume an inflation rat
Calculation of the net advantage to leasing : What is the appropriate present value of lease payments to be included in the calculation of the net advantage to leasing?
What is a so-called interest rate swap : Interest rate swap: a) What is a so-called "interest rate swap" b) Which advantages and disadvantages of "interest rate swaps" are you aware of?
Who is responsible for the lead in the flint water : Who is responsible for the lead in the Flint water? Should those responsible be made to pay for the clean-up? The response must be typed.

Reviews

Write a Review

Finance Basics Questions & Answers

  What were the probable misrepresentations

-  What were the probable misrepresentations and/or omissions of facts in the amended S-1 filing? -  Did the lead underwriters violate Fair Dealing with regards to the conveyance of updated revenue forecasts? If yes, how so?

  What is political risk

What is political risk? Is it limited to emerging markets only?

  How much is the minimumdividend that the firm pays each year

If Absolute has 40,000 shares outstanding, how much is the minimum (low regular) dividend that the firm pays each year?

  How much would be willing to lend the business owner

Present Value of Multiple Annuities A small business owner visits his bank to ask for a loan. The owner states that he can repay a loan at $1,800 per month.

  Calculate the macaulay duration

Calculate the Macaulay duration of an 8%, $1,000 par bond that matures in three years if the bond's YTM is 14% and interest is paid

  Analyzing profitability

In? 2016, the Allen Corporation had sales of $63 ?million, total assets of $44 ?million, and total liabilities of $21 million. The interest rate on the? company

  How would you describe east coast yachts’ cash flows

Which cash flows statement more accurately describes the cash flows at the company?

  At what year do you expect the bonds will be forced into

niendorf incorporated needs to raise 25 million to construct production facilities for a new type of usb memory device.

  What are the expected returns for the three stocks

What are the expected returns for each of the three stocks next year?

  What is the companys float

Green Apple Fruit Farms has a four-day delay in processing and clearing. The daily interest rate is .23%. On an average day, the firm receives $7500 in payments. What is the company's float? What is the company's average collection float in a mont..

  Review problem on stock valuation and pe ratio

Stock Valuation and PE Ratio. The Sleeping Flower Co. has earnings of $2.65 per share. The benchmark PE for the company is 18.

  Discuss the meaning of these two betas

As of early 2010, Wal-Mart's (WMT) beta is .33 and Target Stores (TGT) beta is 1.02. discuss the meaning of these two betas, analytically by briefly setting forth the process for calculating beta.

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