What is yield to call

Assignment Help Accounting Basics
Reference no: EM132341941

Question - Pawleys lnc.'5 bonds currently sell for $1,264 and have a par value of $1,000. They pay a $105 annual coupon and have a 15-year maturity, but they can be called in 4 years at $1,170. What is their yield to call (YTC)?

a) 8.12%

b) 7.35%

c) 6.62%

d) 6.98%

e) 7.74%

Reference no: EM132341941

Questions Cloud

Compute the overhead spending variance and volume variance : Standard manufacturing overhead based on normal monthly volume: Fixed - $15.17. Compute the overhead spending variance and the volume variance
Role of a project manager within the broader perspective : Identify any Project Management software and present a synopsis showing a comparison - describe a strategy for managing each particular risk
Describe the major capabilities of database management : Name and describe the major capabilities of database management systems and explain why a relational database can be so powerful
Discuss what happens with different layout managers : How many components can you put in each region of a BorderLayout? How can use JPanel panels to get around this limitation?
What is yield to call : Pawleys lnc.'5 bonds currently sell for $1,264 and have a par value of $1,000. What is their yield to call (YTC)
What constitutes a scope : Overloading of operators for programmer-defined types. Binding time of array size. What constitutes a scope? Location of a declaration within a scope.
Please describe your experience in qa : Please Describe Your Experience in QA? Please describe the biggest challenge you ever faced and how you handled it as a QA?
What are the pros and cons of cloud computing : What are the pros and cons of Cloud computing? What are the major challenge for the future of Cloud computing?
How would you choose which might be a better solution : How can you tell if it is a correct model? How would you choose which might be a better solution? Please provide a brief description with examples.

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.

  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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd