What was your total dollar return on this investment

Assignment Help Financial Management

Reference no: EM13938459

Suppose you bought a 8 percent coupon bond one year ago for $950. The bond sells for $1,005 today. Assuming a $1,000 face value, what was your total dollar return on this investment over the past year? What was your total nominal rate of return on this investment over the past year? If the inflation rate last year was 8 percent, what was your total real rate of return on this investment?

Reference no: EM13938459

Questions Cloud

What is the effective cost of borrowing in case : Your firm has an average collection period of 32 days. Current practice is to factor all receivables immediately at a discount of 1.3 percent. What is the effective cost of borrowing in this case? (Do not round intermediate calculations. Enter your a..

Each topic and integrates research into the writing : Describes the weekly topic in sufficient detail.Critically analyses each topic (not just descriptive writing but questions what is read and felt about each topic)

Developing a mobile web site and building mobile application : Developing a Mobile Web Site and Building Mobile Applications. Formulate and critically evaluate the impact of e-business strategies on organisational processes and outcomes.

What is important about when the patient felt lightheaded : If blood pressure is low, how can the autonomic nervous system correct that, normally? Is that happening in this patient? Explain your answer.

What was your total dollar return on this investment : Suppose you bought a 8 percent coupon bond one year ago for $950. The bond sells for $1,005 today. Assuming a $1,000 face value, what was your total dollar return on this investment over the past year? What was your total nominal rate of return on th..

Does the fact that small jobs have a higher cost : Does the fact that small jobs have a higher cost in the current year suggest that prices for small jobs should be increased?

Cash balances as result of implementing the lockbox system : It takes Cookie Cutter Modular Homes, Inc., about six days to receive and deposit checks from customers. Cookie Cutter’s management is considering a lockbox system to reduce the firm’s collection times. What is the reduction in outstanding cash balan..

What structural features of arteries and veins lead : What structural features of arteries and veins lead to an equilibrium in blood flow into and out of any given organ? Consider the relationship of flow to pressure and resistance in your answer (F=P/R).

Identify the investment objectives : Sarah acknowledges that the CRM system itself is only part of the expected positive outcome, and that it will only provide value if the individual partners running the various IT Professional Services Practices actively support it.

User Account

All Pages