What was your total real return on investment

Assignment Help Financial Management
Reference no: EM13766397

You bought one of Great White Shark Repellant Co.’s 6.2 percent coupon bonds one year ago for $1,038. These bonds make annual payments and mature 15 years from now. Suppose you decide to sell your bonds today, when the required return on the bonds is 6 percent.

If the inflation rate was 2.4 percent over the past year, what was your total real return on investment? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Total real return               %

Reference no: EM13766397

Questions Cloud

Identify a state or federal case involving termination : Identify a state or federal case involving termination done in bad faith. What were the facts and findings of the case
Sell its inventory and then collect the payment on the sale : Syed's Industries has accounts receivable of $700, inventory of $1,200, sales of $4,200 and cost of goods sold of $3,400. How long does it take Syed's to both sell its inventory and then collect the payment on the sale?
Important issues in archaeology : Why is context so important in archaeology? If someone steals an artifact from an unexcavated archaeological site.
Calculate the expected price of the stock : A stock you are interested in paid a dividend of $1 this morning. If you buy the stock today, you will get the first dividend after one year. The anticipated growth rate in dividends and earnings is 25% for the next 2 years before settling down to a ..
What was your total real return on investment : You bought one of Great White Shark Repellant Co.’s 6.2 percent coupon bonds one year ago for $1,038. These bonds make annual payments and mature 15 years from now. Suppose you decide to sell your bonds today, when the required return on the bonds is..
What are the ramifications of given situation : You are managing a project that is just barely within budget. You are confused because you know that your bid was high enough to produce a nice profit. What are the ramifications of this situation? What steps do you think you should take to rectify..
Discus healthcare research impact on evidence based practice : Discuss the Healthcare research's impact on evidence based practice and Key Components of research studies impacting rigor, validity, and ethical considerations.
Kin selection and kin recognition rules be useful : How might you expect foraging patterns to differ between these two lizard populations with respect to the time spent in a given patch - How might both kin selection and kin recognition rules be useful in understanding cases of "adoption" in animals?
Calculate the net present value of the new purchase option : David Co. produces all-terrain vehicles (ATVs). The once successful line is no longer selling well, so the company is considering production of a new improved 4 passenger ATV. This can be done by buying needed production equipment. The after tax cash..

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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