What is the bond yield rate per period

Assignment Help Financial Management
Reference no: EM131489045

Please do not skip any calulations and show all formulas used:

A bond has a face (par) value of $14,445; it will mature in 5 years. The bond coupon rate is 1.50%; there are 9 premium payments per year. If the bond is purchased for 93.39% of its face value and later sold at its face value, what is the bond yield rate per period?

Reference no: EM131489045

Questions Cloud

What is the unlevered value of operations : What is the unlevered value of operations? What is the value of the tax shield?
Company price-earnings ratio : Computer stocks currently provide an expected rate of return of 17%. What (qualitatively) will happen to the company's price–earnings ratio?
Each share of vandell common stock in acquisition : Indicate the range of possible prices that Hastings could bid for each share of Vandell common stock in an acquisition.
Planning to make monthly deposits : You are planning to make monthly deposits
What is the bond yield rate per period : A bond has a face (par) value of $14,445; it will mature in 5 years. what is the bond yield rate per period?
Delinquent on his accounts payable balance : One of your customers is delinquent on his accounts payable balance. You’ve mutually agreed to repayment schedule of $949 per month.
Compounded daily on its savings accounts : Gold Door Credit Bank is offering 8.7 percent compounded daily on its savings accounts. You deposit $6182 today. How much will you have in account in 12 years.
Calculate the inflation-adjusted principal : calculate the inflation-adjusted principal at the beginning of the second six months.
Minimum estimated value of synergistic benefits from merger : what is the minimum estimated value of the synergistic benefits from the merger?

Reviews

Write a Review

Financial Management Questions & Answers

  Calculate the specific cost of each source of financing

Calculate the specific cost of each source of financing Assume that the required return of retained earnings is equal to that on common stock. If earning is available to common shareholders are expected to be $7 million what is the break point associ..

  Companys depreciation and amortization expense

What was the company's depreciation and amortization expense?

  Board services to numerous hotel chains nationwide

The Fast Reader Company supplies bulletin board services to numerous hotel chains nationwide. The owner of the firm is investigating the benefit of employing a billing firm to do her billing and collections. Because the billing firm specializes in th..

  Tax bracket is trying to decide which of the two bonds

An investor in the 28 percent tax bracket is trying to decide which of the two bonds to purchase. One is corporate bond carrying an 8 percent coupon and selling at par. The other is a municipal bond with a 5 ½ percent coupon and it, too, sells at par..

  Estimate growth rates for earnings-revenues and dividends

There are three ways to estimate growth rates for earnings, revenues, and dividends. These include (1) the growth rate of the firm’s past earnings, (2) obtain the information from analysts, and (3) estimate the rates from the firm’s fundamentals. Usi..

  Stock dividends and capital gains

Stock dividends are_____ and capital gains are ____

  What is the form cost of preferred stock financing

Nature Food Inc. needs to estimate the cost of financing on preferred stock. What is the form’s cost of preferred stock financing?

  Find out who the producers of pvc pipe

Find out who the producers of PVC pipe are in the US and call up the plant and talk to the plant manager or the sales manager.

  What was your total nominal rate of return on investment

Suppose you bought a bond with a coupon rate of 8.4 percent one year ago for $907. The bond sells for $946 today. Assuming a $1,000 face value, what was your total dollar return on this investment over the past year? What was your total nominal rate ..

  Identify the major problems including their causes

Identify the major problems including their causes in this section. This section evaluates potential solutions for the identified key problems.

  Make in order to partake of future cybernetic goodness

You estimate that you will need $669 thousand in 30 years to buy some cybernetic body enhancements, including infrared vision, retractable claws, and expanded brain storage capacity. The first deposit will be made right now, the second 10 years from ..

  Amount allocated to ending inventory on LIFO basis

Milo has the following inventory data: Assuming that a periodic inventory system is used, what is the amount allocated to ending inventory on a LIFO basis

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