What is this bond current yield to maturity

Assignment Help Financial Management
Reference no: EM131579115

Currently, the price of a 4 year, $1000 par value, 8% coupon rate with semi-annual payments bond is $970. What is this bond’s current yield to maturity?

Reference no: EM131579115

Questions Cloud

What is the value of this stock if the required return : What is the value of this stock if the required return is 15%? If the required return rises to 20% , what is the new price?
What is your estimate of the firm enterprise value : If the appropriate discount rate for valuing the winery is 15%, what is your estimate of the firm’s enterprise value?
How much profit could you earn on each trade : How much profit could you earn on each trade with $10,000?
What do you predict the exchange rate will be in one year : What do you predict the exchange rate will be in one year? In two years? In five years?
What is this bond current yield to maturity : What is this bond’s current yield to maturity?
What percentage decrease does this represent in terms : What percentage decrease does this represent in terms of the Singapore dollar versus the U.S. dollar? What is the break-even exchange rate?
What is the difference in annual inflation rates : What is the difference in the annual inflation rates for the United States and Russia over this period?
What was the term of the loan : Will borrowed $6,400 at 5.9% simple interest. The total he owed to repay the loan was $6,492. What was the term of the loan?
Find the wacc-risk-free rate : find the WACC. Assume the company's tax rate is 35 percent. Market: 7 percent market risk premium and 3.0 percent risk-free rate.

Reviews

Write a Review

Financial Management Questions & Answers

  Present and future values of a cash flow stream

An investment will pay $100 at the end of each of the next 3 years, $250 at the end of Year 4, $300 at the end of Year 5, and $600 at the end of Year 6.

  What is the cost of equity capital

Gangland Water Guns, Inc. is expected to pay a dividend of $2.10 one year from today. If the firm's growth in dividends is expected to remain at a flat 3 percent forever, then what is the cost of equity capital for Gangland if the price of its common..

  About wacc of multinational firm vs that of domestic firm

Which of the following statements about wacc of a multinational firm (mnf) vs that of a domestic firm (df) is false?

  What is the terminal cash flow for project

What is the terminal cash flow for this project:

  Prepare product-by-value analysis for products

Prepare a product-by-value analysis for the following products, and given the position in its life cycle

  Worthwhile to incur a compensating balance

What interest rate would make it worthwhile to incur a compensating balance of $9,000 in order to get a 0.65 percent lower interest rate on a 2 year, pure discount loan of $165,000?

  What is the current price of its stock

CX Enterprises has the following expected dividends: If CX's equity cost of capital is 12.5%, what is the current price of its stock?

  Working capital will revert back to normal at end of project

Your firm is contemplating the purchase of a new $663,000 computer-based order entry system. The system will be depreciated straight-line to zero over its six-year life. It will be worth $52,000 at the end of that time. Working capital will revert ba..

  What is the optimal capital structure for this firm

The cost of both depth equity and capital rise as a firm increases its reliance on one or the other. Suppose that a for-profit company has identified the following costs for debt and equity: What is the optimal capital structure for this firm?

  Prepare for the next period of economic challenge

Consider how the economy may be influencing your life. What has the most impact on you? Has a similar economic condition happened in the past? What is the likelihood it could happen again? What should you do to prepare for the next period of economic..

  Can investors accurately forecast the direction of future

Provide one reason for using the bank's investment portfolio to speculate on interest rate movements. Provide one reason against such a strategy. What do you believe about efficient markets, and how does this influence your opinion of speculating? Ca..

  True regarding partnership operating distributions

Which of the following statements is true regarding partnership operating distributions?

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