What interest rate would you earn

Assignment Help Basic Statistics
Reference no: EM132021950

Suppose the U.S. Treasury offers to sell you a bond for $880.00. No payments will be made until the bond matures 7 years from now, at which time it will be redeemed for $1,000. What interest rate would you earn if you bought this bond at the offer price?

Reference no: EM132021950

Questions Cloud

Advantage to exporting goods to reach international markets : Which of the following is an advantage to exporting goods to reach international markets rather than entering into some form of FDI?
What will the earnings per share be after the repurchase : The bond proceeds will be used to repurchase shares. What will the earnings per share be after the repurchase if the economy booms?
How much have you paid towards the principal : At the end of 15 years (the first 5 plus the next 10), how much have you paid towards the principal? How much is left?
Identify the principal and interest payment : Identify the principal and interest payment of each month.
What interest rate would you earn : What interest rate would you earn if you bought this bond at the offer price?
Compute the return on investment : Transaction costs are $20 on Both ends. When the stock increases to $72 3 month later, calculate the return on investment
How much will you have when the cd matures : Suppose you have $1,000 and plan to purchase a 10-year certificate of deposit (CD) that pays 2.0% annual interest, compounded annually.
What is the pay back period for the in house option : What is the pay back period for the in house option if the interest rate is 9% per year?
Going interest rate : If the going interest rate on these 10-year bonds is 2.0%, how much is the bond worth today?

Reviews

Write a Review

Basic Statistics Questions & Answers

  Statistics-probability assignment

MATH1550H: Assignment:  Question:  A word is selected at random from the following poem of Persian poet and mathematician Omar Khayyam (1048-1131), translated by English poet Edward Fitzgerald (1808-1883). Find the expected value of the length of th..

  What is the least number

MATH1550H: Assignment:  Question:     what is the least number of applicants that should be interviewed so as to have at least 50% chance of finding one such secretary?

  Determine the value of k

MATH1550H: Assignment:  Question:     Experience shows that X, the number of customers entering a post office during any period of time t, is a random variable the probability mass function of which is of the form

  What is the probability

MATH1550H: Assignment:Questions: (Genetics) What is the probability that at most two of the offspring are aa?

  Binomial distributions

MATH1550H: Assignment:  Questions:  Let’s assume the department of Mathematics of Trent University has 11 faculty members. For i = 0; 1; 2; 3; find pi, the probability that i of them were born on Canada Day using the binomial distributions.

  Caselet on mcdonald’s vs. burger king - waiting time

Caselet on McDonald’s vs. Burger King - Waiting time

  Generate descriptive statistics

Generate descriptive statistics. Create a stem-and-leaf plot of the data and box plot of the data.

  Sampling variability and standard error

Problems on Sampling Variability and Standard Error and Confidence Intervals

  Estimate the population mean

Estimate the population mean

  Conduct a marketing experiment

Conduct a marketing experiment in which students are to taste one of two different brands of soft drink

  Find out the probability

Find out the probability

  Linear programming models

LINEAR PROGRAMMING MODELS

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