User Account

All Pages

What is the ending value of the bond

Assignment Help Accounting Basics
Reference no: EM13342597

You buy an 8% annual coupon bond from CARRIS Inc. that has a 25 year maturity and a required return of 12%. The par value is $1,000. You sell the bond five years later when the required return is 10%. What is the ending value of the bond when it is sold (to the nearest dollar)?

1) $889

2) $928

3) $1,000

4) $830

Reference no: EM13342597

Questions Cloud

What was the depreciation expense for 2012 : Referring to the information in the question, provide four examples of accounting policy choices that ANZ may have made in determining profit that may have increased this year's profit.
What should be the weight to t-bill in passive portfolio : Consider an investor who believes in CAPM and is willing to bear the amount of systematic risk given beta of 1.2. Investor buys the passive portfolio by combining the market portfolio and T-bills. What should be the weight to T-bill in her pas..
Explain the seven categories of matter : Of the seven categories of matter (metallic network, non-metallic network, ionic-covalent network, ionic network, polar molecular, weakly polar molecular, and non-polar molecular), which are the most similar. Why
How much in dividend was paid during the year 2012 : The general manager proposed changes in the company's accounting policies in a few areas in an attempt to show a higher profit. He met the company's auditors to discuss these ideas. What do you think the auditors should have said?
What is the ending value of the bond : You buy an 8% annual coupon bond from CARRIS Inc. that has a 25 year maturity and a required return of 12%. The par value is $1,000. You sell the bond five years later when the required return is 10%. What is the ending value of the bond when ..
What capacitive reactance does the capacitor have : A certain capacitor in a circuit has a capacitive reactance of 30.89 ohms when the frequency is 177 Hz. What capacitive reactance does the capacitor have
Describe the reaction flask after washing it with water : Describe and explain how each of the following experimental errors or variations might affect your results. a) you failed to dry the reaction flask after washing it with water.
What must be the amplitude of the wave : A sinusoidal transverse wave travels on a string. The string has length 7.95m and mass 6.45g. what must be the amplitude of the wave
What is the beginning price of the bond : You buy an 8% annual coupon bond from CARRIS Inc. that has a 25 year maturity and a required return of 12%. The par value is $1,000. You sell the bond five years later when the required return is 10%. What is the beginning price of the bond wh..

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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