What is the security duration

Assignment Help Financial Accounting
Reference no: EM132924041

Question - Consider a security with a face value of $100,000 to be repaid at maturity. The maturity of the security is three years. The coupon rate is 12% per annum and coupon payments are made annually. The current discount rate is 9% per annum. What is the security's duration?

Reference no: EM132924041

Questions Cloud

How do nursing and writing align together : How do nursing and writing align together? Think about the field in which you want to work in. How can writing help you and or the field?
Discuss importance of acknowledging nontraditional family : What is a definition of family that encompasses the different family structures prevalent today? Discuss the importance of acknowledging nontraditional family
Describe a relevant policy or practice in organization : Recommend one or more policy or practice changes designed to balance the competing needs of resources, workers, and patients.
What will face in forgoing the addiction for a day : There are a lot of individuals that have addictions, What would be some of the the difficulties they will face in forgoing their addiction for a day?
What is the security duration : The coupon rate is 12% per annum and coupon payments are made annually. The current discount rate is 9% per annum. What is the security's duration
Why is the concept of family health important : How does a nurse determine which strategy would best enable the targeted individuals to gain more control over, and improve, their health?
What do think would be a good or realistic sample size : What are possible sampling frames (sources) from which he can draw his sample? What do you think would be a good/realistic sample size?
Evaluate at least two audit risk areas : Evaluate at least 2 (TWO) audit risk areas and present them in a format of a formal audit plan report relating to the audit risks section only
Calculate the Net Present Value of the Windmill venture : Quixotic Enterprises is about to embark on another venture. Calculate the Net Present Value of the Windmill venture by completing a cash flow spreadsheet

Reviews

Write a Review

Financial Accounting Questions & Answers

  Books related to the transaction

On July 4, Blue Spruce Corp. accepts a Visa card for a $1,100 dinner bill. Visa charges a 4% service fee. Prepare the entry on Blue Spruce Corp.’s books related to the transaction.

  Should chen buy the new machine

Should Chen buy the new machine? Although the Chen Company's milling machine is old, it is still in relatively good working order

  What is variable costing net operating income in year two

Two years ago, we started a company to manufacture and sell small sail boats. Below are our selected actual operating results for the first two years of operations (cost structures and selling are the same for year 1 and year 2). What is the variable..

  Find how much principle did hank pay during twelve months

Find How much principle did Hank pay during the 12 months he had his car? Hank purchased a $28,000 car two years ago using an 8 percent

  Make the consolidation journal entries at june

On 1 January 2019, Parent Ltd acquired, Make the consolidation journal entries at 30 June 2020 to adjust for the effects of the intragroup transactions.

  What price should quote if the job is likely to take 30 hour

Jill Collis has decided to start a business as a garden designer.- What price should she quote if the job is likely to take 30 hours?

  What is the approximate probability

What is the approximate probability that the return on the Toronto Stock Exchange will be less than minus 30% (-30%) in a given year?

  Compute net income for 2019 by comparing total equity

The accounting records of Nettle Distribution show the following assets and liabilities as of December 31, 2018 and 2019.

  What amount the company will report

If Saleem Co. retires $10 million of these bonds by purchasing them from bondholders at current market price, what amount (gain/loss) the company will report

  Compute the total final tax to be withheld by partnership

Cebu Ventures reported P200, 000 net income in 2014. Compute the total final tax to be withheld by the partnership on Gina's profit sharing.

  What are your options in dealing with the ethical dilemma

List alternatives and evaluate the impact of each on those affected: What are your options in dealing with the ethical dilemma(s) you identified in (1) above

  What is the current dividend yield

Cranberry Medical Ltd. What is the current dividend yield? What is the growth rate of the expected annual dividend after year two?

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