What is the yield to maturity of a five-year bond

Assignment Help Finance Basics
Reference no: EM131378952

Finance: YTM annually, semi-annually

Question

What is the yield to maturity of a 5-year bond that pays a coupon rate of 7.60 percent per year, has a $1,000 par value, and is currently priced at $1,255? Assume annual coupon payments.

Reference no: EM131378952

Questions Cloud

What are the number of teeth in the gear : A 20-tooth pinion with a diametral pitch of 8 rotates 2000 rpm and drives a gear at 1000 rpm. What are the number of teeth in the gear, the theoretical center distance, and the circular pitch?
Who were some of the most prominent people : How did the scientific revolution evolve? Who were some of the most prominent people? What impact would these advancements have in creating a world power
Calculate the bonds price today : General Mills has a $1,000 par value, 26-year to maturity bond outstanding with an annual coupon rate of 10.00 percent per year, paid semiannually. Market interest rates on similar bonds are 9.14 percent. Calculate the bond's price today.
What are numbers of teeth and pitch diameters of two gears : A pair of spur gears on 168 mm centers have a 3 : 1 speed reduction ratio. With a module of 4 mm, what are the numbers of teeth and pitch diameters of the two gears?
What is the yield to maturity of a five-year bond : What is the yield to maturity of a 5-year bond that pays a coupon rate of 7.60 percent per year, has a $1,000 par value, and is currently priced at $1,255? Assume annual coupon payments.
Discuss the nature and history of the puritan protectorate : Respond to each item in a complete, concise paragraph. Briefly discuss the nature and history of the Puritan Protectorate. Discuss the ways non-Muslims were treated in the Islamic world
What is the current price of the bond : Marco Chip, Inc. just issued zero-coupon bonds with a par value of $1,000. The bond has a maturity of 12 years and a yield to maturity of 10.33 percent, compounded semi-annually. What is the current price of the bond?
What was role of civil service examinations in ming china : What effect did the boom in the demand for rubber have on Africa's European colonies? With respect to slavery, how did the Mughal Empire differ from the Safavid and Ottoman Empires? What was the role of civil service examinations in Ming China
What is the yield to call of a thirty-years to maturity bond : What is the yield to call of a 30-year to maturity bond that pays a coupon rate of 14.81 percent per year, has a $1,000 par value, and is currently priced at $915? The bond can be called back in 6 years at a call price $1,076.

Reviews

Write a Review

Finance Basics Questions & Answers

  Melissas wealthy uncle gives her 10000 as a graduation gift

melissas wealthy uncle gives her 10000 as a graduation gift. melissa wishes to save this money and get an early start

  What is the npv of the project

Flatte Restaurant is considering the purchase of a $10,400 soufflé maker. The soufflé maker has an economic life of five years and will be fully depreciated by the straight-line method.

  Price for a patient service

In this Discussion, examine the steps that go into setting a price for a patient service. Consider choosing a specific patient service and describe how you, as the health care manager, would set the price for this service.

  Investment management

I am looking for assistance in the area of services of a stock broker and estate planner. I understand that they are individuals that assist people of all income variations who are attempting to set money aside from their financial earnings to invest..

  Standard of a harvard business school case

The aim of the project is to give you an opportunity to apply the concepts learnt in the course to a real life merger/acquisition/divestiture/LBO/restructuring etc. kind of deal.

  Firm a has 10000 in assets entirely financed with equity

1. firm a has 10000 in assets entirely financed with equity. firm b also has 10000 in assets but these assets are

  Symantec narrowing its operations

Many are skeptical because they feel this move corners business and doesn't allow for diversity, will investors take a hit with Symantec narrowing its operations?

  Principles of capital budgeting to invest in growth and cash

Review the following scenario: Acting as the CEO of a small company, you will apply the principles of capital budgeting to invest in growth and cash flow improvement opportunities in three phases over 10 simulated years. Each opportunity has a unique..

  Assessing a company future financial health

Following the nine-step assessment process introduced below and detailed in Assessing a Company's Future Financial Health:

  An investment offers a 11 percent total return over the

an investment offers a 11 percent total return over the coming year. bill bernanke thinks the total real return on this

  Ensure the effectiveness of the above principles

What strategies can you implement to ensure the effectiveness of the above principles? Which do you think would be the easiest to implement? Why?

  Current organization or a hypothetical organization

Assume you are evaluating vendors providing cloud-based solutions for your current organization or a hypothetical organization. Complete the following:

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