What is your return over the six months

Assignment Help Financial Management
Reference no: EM131327867

You buy a 20-year bond with a coupon rate of 9.7% that has a yield to maturity of 10.7%. (Assume a face value of $1,000 and semiannual coupon payments.) Six months later, the yield to maturity is 11.7%. What is your return over the 6 months? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Negative amount should be indicated by a minus sign.) Please show work

Rate of return is ____ %

Reference no: EM131327867

Questions Cloud

Develop a tri fold or bi fold brochure for a client : Develop a tri-fold or bi-fold brochure for a client that provide information about a specific disease, the related symptoms, and the management approaches.
What is the sign of the velocity : When does the ball hit the ground, and how fast is it going at that time? Give your answer in feet per second and in miles per hour (1 ft/sec = 15/22 mph).
Discuss about the cloud computing : Write an essay about advantages and disadvantages of cloud computing and whenever there is an example about a specific point mention it please .The references should be from trusted sources , and inserted at the end of the page .
What is r correlation coefficient : What is r correlation coefficient? What useful information does it provide? What is Se or standard error of the estimate? What useful information does it provide? What is a t-statistic? What does it measure? Do we know what values are considered acce..
What is your return over the six months : You buy a 20-year bond with a coupon rate of 9.7% that has a yield to maturity of 10.7%. (Assume a face value of $1,000 and semiannual coupon payments.) Six months later, the yield to maturity is 11.7%. What is your return over the 6 months?
What do you think jacob nonverbal behavior would exhibit : What do you think Jacob is feeling? What do you think Jacob's nonverbal behavior would exhibit? If you were the detective, how would your questions differ? Give an example of three questions you would have presented Jacob
How long is the tomato in the air : At a time t seconds after it is thrown up in the air, a tomato is at a height of f(t) = -4.9t2 + 25t+ 3 meters.
Compare mobile oss including ios and android : Choose and justify the use of programmed, interrupt driven, or direct memory access in a variety of different I/O devices.Analyze data storage systems in terms of size, speed, error handling, and cost.Describe the functional components of an operatin..
Analyze the structure of the interview : To prepare for the interview, analyze the structure of the interview and present a summary including the following reasons for your choices: Purpose of your interview

Reviews

Write a Review

Financial Management Questions & Answers

  What is the book value for a share of casper stock

Casper Energy Exploration reports that the corporation's assets are valued at $188042000, its liabilities are $74973000, and it has issued 7205000 shares of stock. What is the book value for a share of Casper stock?

  What is expected selling price

A share of stock is now selling for $105. It will pay a dividend of $7 per share at the end of the year. Its beta is 1. What do investors expect the stock to sell for at the end of the year? Assume the risk-free rate is 7% and the expected rate of re..

  Maximum price per share that newman should pay for grips

Newman manufacturing is considering a cash purchase of the stock of Grips Tool. During the year just completed, Grips earned $3.84 per share and paid cash dividends of $2.14 per share (D0= $2.14). Grips' earnings and dividends are expected to grow at..

  Child care payments and any allowable child care credit

Susan Beale is a single mother with two children, ages three and six. She pays a total of $7,000 each year to a neighbor to care for her children while she works. how should she report the child care payments and any allowable child care credit?

  How much money can you get by selling your rights

Roth Corp. wants to raise $3.8 million via a rights offering. The company currently has 480,000 shares of common stock outstanding that sell for $35 per share. Its underwriter has set a subscription price of $25 per share and will charge the company ..

  What would be the bonds current yield

Suppose that you read in The Wall Street Journal that a bond has a coupon rate of 9 percent, a price of 71.375% (of face value) , and pays interest annually. Rounded to the nearest whole percent, what would be the bond’s “current” yield? A 12-year bo..

  How long will it take for the account to be paid off

One of your customers is delinquent on his accounts payable balance. You’ve mutually agreed to a repayment schedule of $660 per month. You will charge 1.06 percent per month interest on the overdue balance. Required: If the current balance is $14,880..

  Current interest rates on two- year-three-year securities

Assume that interest rates for one-year securities are expected to be 2 percent today, 4 percent one year from now, and 6 percent two years from now. Using only pure expectations theory, what are the current interest rates on two- year and three-year..

  In 1895 the first us open golf championship was held the

in 1895 the first u.s. open golf championship was held. the winners prize money was 150. in 2006 the winners check was

  Business entity operated and taxed like a partnership

A business entity operated and taxed like a partnership, but with limited liability for the owners, is called a: A. limited liability company. B. general partnership. C. limited proprietorship. D. sole proprietorship. E. corporation.

  What is the average dividend growth rate

Over the past five years, Westover Enterprises has paid increasing annual dividends of $.82, $.87, $.95, $1.10, and $1.12 a share. What is the average dividend growth rate?

  Brick-and-mortar retail businesses

First, you have probably heard one character in a movie tell another that the three most important factors for determining the quality of a property are "location, location, location." It is true for businesses as well, particularly "brick-and-mortar..

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