Solution-What was the rate of return earned on the bond

What was the rate of return earned on the bond

Reference no: EM132052017

Suppose that you just bought a? four-year ?$1,000 coupon bond with a coupon rate of 7% when the market interest rate is 7%. One year? later, the market interest rate falls to 5%

What was the rate of return earned on the bond during the year you had it?

Reference no: EM132052017

Questions Cloud

Discuss about advocacy for improving lgbtq health : Describe three political actions nurses could take to strengthen their role in policymaking as it relates to advocacy for improving LGBTQ health.

Give the definition for pierce thecorporate veil in state : BUAD 3470 : Give the definition for "Pierce theCorporate Veil" in each state selected. After you have provided the five definitions.

What is the current ratio : Teri's Photography has total assets of $50,800, fixed assets of $47,400, long-term debt of $36,300, and total debt of $42,900. If inventory is $1,200

Summarize outcomes in terms of pathophysiologic alterations : Give an overview of the patient with the presumptive diagnosis*. You can "create" a patient case based on your knowledge of the diagnosis.

What was the rate of return earned on the bond : What was the rate of return earned on the bond during the year you had it?

How to determine the value : How to determine the value of a 1 year $1,000.00 par value bond with a 10% annual coupon when a 10% rate of return is required

Interpret the value computed as well for average cost : How to compute the following in a company's economic value added (EVA) and interpret the value computed as well for Average cost of funds 10.0 %

What was happening in the environment around you : Bio-reactions (fight, flight, freeze, or appease) include quick responses to stimuli that are dangerous and fearful experiences.

Identify a company that you believe constantly displays : Identify a company that you believe constantly displays ethical behavior and explain why?

User Account

All Pages

What was the rate of return earned on the bond

Reference no: EM132052017

Reference no: EM132052017

Questions Cloud

Reviews

Write a Review

Finance Basics Questions & Answers

Financial reporting and analysis

A report on financial accounting

Describe the types of financial ratios

Differences between sole proprietorship and corporation

Prepare a cash budget statement

What are the implied interest rates

State pricing theory and no-arbitrage pricing theory

Small business administration

Effect of financial leverage

Evaluate the basis for the payment to the lender

Importance of opps, ipps, mpfs and dmepos

Time value of money

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT