How many years is it until this bond matures

Assignment Help Financial Management
Reference no: EM13947022

Dulcimer, Inc. has a 5%, semi-annual coupon bond with a current market price of $988.52. The bond has a par value of $1,000 and a yield to maturity of 5.29%. How many years is it until this bond matures?

Reference no: EM13947022

Questions Cloud

What is the most the firm can pay for the project : A firm is considering a project that will generate perpetual after-tax cash flows of $20,000 per year beginning next year. The project has the same risk as the firm’s overall operations and must be financed externally. What is the most the firm can p..
What is the operating cash flow for the project in year two : You are evaluating a project for The Tiff-any golf club, guaranteed to correct that nasty slice. You estimate the sales price of The Tiff-any to be $450 per unit and sales volume to be 1,200 units in year 1; 1,325 units in year 2; and 1,000 units in ..
What is opportunity cost associated with using capacity : You are considering adding a new software title to those published by your highly successful software company. If you add the new product, it will use capacity on your disk duplicating machines that you had planned on using for your flagship product,..
Health system has forecast net patient revenue : A health system has forecast net patient revenue in the first 3 months of the year as follows (figures in millions): January, $60; February, $80; March, $100. 60% of services are usually paid for in the month that they take place and 40% in the follo..
How many years is it until this bond matures : Dulcimer, Inc. has a 5%, semi-annual coupon bond with a current market price of $988.52. The bond has a par value of $1,000 and a yield to maturity of 5.29%. How many years is it until this bond matures?
Clinic cost of capital : Columbus Clinic expects to receive $10,000 five years from now. If the clinic’s cost of capital is 12% per year, what is the value of the $10,000 three years from now (to the nearest dollar)?
What is the present value of your inheritance : You will receive a $100,000 inheritance in 20 years. Your investments earn 6% per year, compounded annually. To the nearest hundred dollars, what is the present value of your inheritance?
Reasons are good motives for mergers : The following reasons are good motives for mergers except: A. Economies of scale B. Increased purchasing power C. Increased value for acquiring company’s shareholders D. Unused tax shields
What is the standard deviation in percentages of the stock : You estimate the following probability distributions of returns for the stock of the Beranek Company: What is the standard deviation, in percentages, of the stock?

Reviews

Write a Review

Financial Management Questions & Answers

  Determine the irr of each investment

Investment A has the following cash flows: 200,200,300,200 200 Investment B has the following cash flows: 300,300,300,300,300 Both investments have a cost of 350 initially. Indicate which registers, financial or cash flow, can be used to determine th..

  What was the average annual growth rate of dividends

A firms dividends have grown over the last several years. 10 years ago the firm paid a dividend of $2. Yesterday it paid a dividend of $4. What was the average annual growth rate of dividends for this firm?

  What is the key difference between the strategies adopted

Suppose Japanese yen money market annual rate is .60 % and US money market an annual rate of 4.50 %. The predictions on the spot rate in 6 months made by financial analysts X and Y are Yen116/$ and Yen 114/$ respectively. If the sport rate today is Y..

  What are the arithmetic and geometric returns for the stock

A stock has had returns of -26 percent, 6 percent, 34 percent, -5 percent, 28 percent, and 19 percent over the last six years. What are the arithmetic and geometric returns for the stock?

  Reduce the argument in the resources allocation

Creating a portfolio and allocation resources based on the entire four project alternative which consume a lot of time however this process reduce the argument in the resources allocation.

  What will be the conversion factor

If you find a deliverable bond with a: a 6% coupon rate, what will be the conversion factor?

  Insurance company are entirely non-systematic

An insurance company’s losses of a particular type per year are to a reasonable approximation normally distributed with a mean of $150 million and a standard deviation of $50 million. (Assume that the risks taken on by the insurance company are entir..

  What would be your annualized rate of return

Suppose you invest $ 4,030 today to start a business. In 6 years you hope to sell this company for $ 14,849. What would be your annualized rate of return? Express your answer as a percentage, rounded to the first decimal, and without the ‘%’ sign. So..

  Find the present value of each of the future cash flows

Use the PV command to find the present value of each of the following future cash flows at a discount rate of 10% per year, compounded monthly:

  What is the bonds annual coupon rate

The market price of a 10-year, $1,000 bond is $1,158.91. Interest on this bond is paid semi annually and the YTM is 14%. What is the bond’s annual coupon rate?

  Calculate the range of opportunity costs of capital

The Titanic Shipbuilding Company has a noncancelable contract to build a small cargo vessel. Construction involves a cash outlay of $259,000 at the end of each of the next two years. Use the IRR rule to calculate the (approximate) range of opportunit..

  Your local small business association is organizing the

your local small business association is organizing a workshop centered upon the impact of corporate culture on

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