What is the yield to maturity of this bond

Assignment Help Finance Basics
Reference no: EM133332185

Question: A Japanese company has a bond outstanding that sells for 105.43 percent of its ¥100,000 par value. The bond has a coupon rate of 3.4 percent paid annually and matures in 16 years. What is the yield to maturity of this bond?

Reference no: EM133332185

Questions Cloud

Defines leadership and courage : Choose a current or historical figure who has demonstrated courage. An introduction that defines leadership and courage.
What is the value of the call : What is the value of the call if the strike price is $55 per share? The price of Ervin Corp. stock will either be $69 or $87 at the end of the year.
What is the value of chaney : What is the value of Chaney? Chaney Corp. has an EBIT of $1.87 million per year that is expected to continue in perpetuity. The unlevered cost of equity
What is the firms cost of equity capital : What is the firm's cost of equity capital after borrowing $45,000 and using the proceeds to repurchase shares (i.e., after recapitalization)?
What is the yield to maturity of this bond : The bond has a coupon rate of 3.4 percent paid annually and matures in 16 years. What is the yield to maturity of this bond?
What would be the impact on the tax shield : Apple currently has $108B in debt and $100B worth of cash. Assuming that Apple plans to keep its level of debt constant forever, and that its marginal tax rate
What is the optimal withdrawal size : what is the optimal withdrawal size? What is the average amount of cash on hand? How often should you withdraw funds? Show your calculations.
What is the most challenging aspect of the npv method : What is the most challenging aspect of the NPV method? (Please identify all the variables you use in your calculation when you use a calculator.
What is the main shortcoming of the irr approach : What is the main shortcoming of the IRR approach? (Please identify all the variables you use in your calculation when you use a calculator.

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the price today for a delicious mills bond

Since then, interest rates in general have changed and the yield to maturity on the Delicious Mills bonds is now 9.38 percent. Given this information, what is the price today for a Delicious Mills bond?

  Principle the appropriate primary corporate objective

Is the value maximization principle the appropriate primary corporate objective? Why or why not? Please provide references. Thanks.

  Find the internal rate of return

Find the internal rate of return

  Estimate the share price of rossman

Its last dividend was $1.50 per share. The required return on similar risk firms is 12% . Estimate the share price of Rossman.

  Draw six mean-standard deviation diagrams

Draw six mean-standard deviation diagrams, one for each of the six remaining pairs of subsidiaries in exercise 4.15. Mark the individual subsidiaries, the minimum variance combination assuming no short sales, and ABCO's return variance for a 50/50..

  Maintain current capital structure relationship

The component cost of preferred stock to Lei-Feng, Inc. would be?

  What is mean by generational influence on work behavior

What is mean by generational influence on work behavior? What are the three major generational influences mentioned?

  Find the expected rate of return on the market portfolio

Find the Expected Rate of Return on the Market Portfolio given that the Expected Rate of Return on Asset "i" is 12%, the Risk-Free Rate is 4%, and the Beta (b) for Asset "i" is 1.2.

  Working average cost of capital for company

If the required rate of return on the debt is 0.06, on the preferred stock is 0.10 and on the common stock is 0.09, what is the working average cost of capital

  How does the presence of a secondary market simplify your

suppose that you are considering investing in an asset for which there is a reasonably good secondary market.

  What is the value of the company

Ved Ltd has an EBIT of ?5 lakhs per year that is expected to continue in perpetuity. The unlevered cost of capital for the company is 16% and the corporate tax

  Prepare pdcs projected balance sheet for august

Prepare PDCs projected balance sheet for August. Prepare PDCs projected statement of cash flow for August. Compare your balance sheet at the end of August with the balance sheet in Table and apply the balance sheet method to determine cash flows over..

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