What is price change in this bond

Assignment Help Business Management
Reference no: EM133272595

Question

There is a bond which pays 10% coupon annually and maturity is 3 years from now. Yield to maturity is 10%. When interest rate fall by 1% what is price change in this bond?

Reference no: EM133272595

Questions Cloud

Different ways company can raise capital : Identify the different ways the company can raise the capital. How do these ways relate to the preferences of Shilkin
Calculate the value of real option : You have just invested $1200 in a project. The appropriate discount rate is 6%. Calculate the value of this real option.
Unexpected currency depreciation : UK experienced a market turmoil almost two weeks ago. What was the reason of this unexpected currency depreciation?
Sewer revenue bonds : Build America Mutual ("BAM"), rated AA, will charge $50,000 to insure $10,000,000 of BBB rated sewer revenue bonds.
What is price change in this bond : There is a bond which pays 10% coupon annually and maturity is 3 years from now. what is price change in this bond?
Why do you think these securities offer different yields : Compare yields offered on a 3-mo T-bill with the yield offered by other money market securities, Why do you think these securities offer different yields?
Straight-line depreciation to zero book value : You may assume straight-line depreciation to a zero book value and a discount rate of 12 percent.
Brazilian automotive sector for foreign automakers : What are the current threats and opportunities in the Brazilian automotive sector for foreign automakers?
Compare dow jones industrial average : Compare Dow Jones Industrial Average, the S&P 500 Index, and the NASDAQ composite index. Identify which index has been most volatile over the last five years.

Reviews

Write a Review

Business Management Questions & Answers

  Assess the overall effectiveness of model

Assess the overall effectiveness of the model your team selected to both choose and implement your innovation.

  Chronological and subject classification of files

I. Describe the following in 1 para: a. The importance of office system b. The chronological and subject classification of files

  What are the two moral issues raised by globalizaion

What are the two moral issues raised by globalizaion? List two criticism levelled at global institution?

  Draw a flow-chart or mind map to detail

Draw a flow-chart or mind map to detail the process of forecasting.

  Present circumstances and set a new basis

Think of a situation at home, at work, at university or in a club to which you belong. It is a situation that involves you. You want to change the present

  Report current sales receipts

Consider two computer companies - Orange and PH - that report current sales receipts of $323 million and $294 million, respectively.

  Financial consumer agency of canada

Compare three (3) credit cards you might wish to obtain; one might include a card you already have. Use a minimum of five (5) criteria to conduct your compariso

  Lerner index of monopoly power for firm

A firm is operating in a monopolistically competitive market faces demand and marginal revenue curves as given below:

  Review the cases of southwest and lincoln electric

Integration and application (page 104). Before continuing, review the cases of Southwest and Lincoln Electric at the end of this book.

  Compute the upper and lower control limits

A medical facility does MRI's for sports injuries. Occasionally a test yields inconclusive results and must be repeated. Using the following sample data and n = 200, estimate the upper and lower control limits for fraction of retests using two sigma ..

  Lassiez faire economicsdefinition of laissez faire

lassiez faire economics.definition of laissez faire economics. an economic doctrine that opposes government regulation

  Marginal cost equals marginal willingness to pay means

Show that if the marginal costs of water supply are downward-sloping, then pricing so that marginal cost equals marginal willingness to pay means

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