What is the duration of the portfolio

Assignment Help Financial Accounting
Reference no: EM132845401

Question - A company invests $1,000 in a five-year zero-coupon bond and $4,000 in a ten-year zero-coupon bond. What is the duration of the portfolio?

a. 6 years

b. 7 years

c. 8 years

d. 9 years

Reference no: EM132845401

Questions Cloud

Construct a scatter plot with data : Time series are particularly useful to track variables such as revenues, costs, and profits over time. Time series models help evaluate performance
How does adhd effect children in a classroom : How does ADHD effect children in a classroom? Explain strategies one can use in the classroom in terms of modifying teaching, practice and management.
Project on cfd analysis of a savonius vertical axis turbine : Thesis project on CFD analysis of a Savonius Vertical Axis Wind Turbine.
What role did women and african americans play in the war : Why did the North prevail in the Civil War? What might have turned the tide of the war against the North? What role did women and African Americans play?
What is the duration of the portfolio : A company invests $1,000 in a five-year zero-coupon bond and $4,000 in a ten-year zero-coupon bond. What is the duration of the portfolio
Construct the confidence interval for the amount of student : Using this information, construct the 90% confidence interval for the amount of students that will go on to be employed in their field.
What is the interquartile range for instrument : What is the probability that the instrument will go for less than 4775 minutes without recharging and What is the least duration over which the instrument
What is the gross profit : Dallas Company had NET sales of $800,000 for the year, cost of goods sold of $400,000, and interest expense of $100,000 for last year. What is the Gross Profit
What does the fourteenth amendment do : Consider the differences between the Thirteenth and Fourteenth Amendments. What does the Fourteenth Amendment do that Thirteenth does not?

Reviews

Write a Review

Financial Accounting Questions & Answers

  Entrepreneurs perspective on decision-making

After listening to this entrepreneur’s perspective on decision-making, how would you categorize her decision making style? Include at least two examples that support your choice.

  Compute the cash payments for operating expenses

Yaddof Corporation reports operating expenses of $70,000 excluding depreciation expense of $15,000 for 2014. Compute the cash payments for operating expenses in 2014.

  Compute the price of the bond if the required return on bond

To finance a new line of product,Compute the price of the bond if the required return on the bond is 10% and interest is paid semi-annually.

  Create special machines and raw materials from various parts

The environmental law in United States set standards for the emission of smoke and toxin by the sugar manufacturing industries. The companies had to import and create special machines and raw materials from various parts of the world in order to meet..

  How much should the price of the flat be

Assuming that you can rent the flat out continuously and the market interest rate is stable at 2%. How much should the price of the flat be

  Estimate what the required rate of return on the market

Required return is 9.50%, and the risk-free rate is 4.30%. What is the required rate of return on the market? (Hint: First find the market risk premium.)

  What is the variable product expense per unit

Fixed marketing expense totaled $13,000 and fixed administrative expense totaled $35,000. The price per calendar is $10.What is the variable product expense per unit?

  Plantwide factory overhead rate

Pinacles budgeted $269920 of overhead for 2012. actual overhead ccosts for the year were $256030,000. Pinacle's plantwide allocation base, machine hours, was budgeted at $48700 hrs. Actual machine hours 40520 . A total of 90410 units was budgeted to ..

  Journalize the necessary adjusting entries

The following information for Drake Company, which adjusts and closes its accounts every December 31, is available for 2016: Salaries accrued but unpaid total $2,840 on December 31, 2016. The $247 December utility bill arrived on December 31 and has ..

  Calculate the amount of gross profit earned by abc company

Calculate the amount of gross profit earned by ABC Company during May using the weighted average method. During May, ABC Company reported operating expenses

  How much should each division manager receive

Find How much should the vice president and each division manager receive,respectively, if the vice president gets 3% and each division manager

  Journalize Stylon entries to record the purchase

Stylon returned merchandise with an invoice amount of $7,500, receiving a credit memo. Journalize Stylon's entries to record (a) the purchase

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