What must the coupon rate be on bonds

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Reference no: EM132035102

1. Kiss the Sky Enterprises has bonds on the market making annual payments, with 9 years to maturity, and selling for $780. At this price, the bonds yield 11.0 percent. What must the coupon rate be on the bonds?

A.7.03% B. 9.01% C.14.05% D 11.00% E 7.13%

2. Ackerman Co. has 6 percent coupon bonds on the market with eleven years left to maturity. The bonds make annual payments. If the bond currently sells for $946.72, what is its YTM? Assume a par value of $1,000.

a. 6.70% b. 5.31% c. 7.31% d. 6.34% e. 5.64%

3. For a statistical test of hypotheses which statement about the P-value is true?

a .The P-value =0.5

b. The P-value is the probability that the altemate hypothesis is true.

c. The null hypothesis is rejected if the calculated P-valuc is small enough.

d. The null hypothesis is rejected if the calculated P value is large enough.

Reference no: EM132035102

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