What is the periodic current yield of the bond

Assignment Help Finance Basics
Reference no: EM131235609

You have the following bond: Par value = 10,000, Coupon is 12%, semi-annually compounded, 20 year maturity, Nominal Market rate of interest is 11.25%. What is the periodic current yield of the bond in Period 20 (20 periods to maturity)

Reference no: EM131235609

Questions Cloud

Interest rate with monthly payments : If you buy a home for $189,000 and put 30% down and finance the rest with a 15-year amortized mortgage that has a 4.80% interest rate with monthly payments, how much interest will you pay over the entire life of the loan?
Entrepreneurs have to finance projects with credit cards : What are the two possible reasons why entrepreneurs often have to finance their projects with credit cards, which can charge interest rates as high as 1,000 basis points above Treasury?
What is the most cash the company : A. Determine whether or not ABC will have a cash need during the next year. B. If the company does need cash, in which month will it need the cash? C. What is the most cash the company will need to borrow during the year (maximum amount borrowed in o..
Contrast the consumer buying decision process : Contrast the consumer buying decision process with the organizational buying process. Why is it difficult to generalize the process of business buying behavior? Relate the buying process model to organizational and individual needs. How do they chang..
What is the periodic current yield of the bond : You have the following bond: Par value = 10,000, Coupon is 12%, semi-annually compounded, 20 year maturity, Nominal Market rate of interest is 11.25%. What is the periodic current yield of the bond in Period 20 (20 periods to maturity)
Reach objectives they have deemed important : Leaders inspire and encourage their followers to reach objectives they have deemed important. The ability to empower others to reach these objectives is a key skill of a leader. Using the overview of transformational and transactional leadership prov..
What was the job completion rate of the system : A distributed system has a print server with a printing speed of 60 pages per minute. The server was observed to print 500 pages over a 10-minute observation period. If each job prints five pages on the average, what was the job completion rate of..
What is the npv of this project : Assume you have both taxes and inflation. You are in the 20% tax bracket, and the inflation rate is 5% per year. - What is the NPV of this project?
Evaluate projects with the same level of risk : Calculate the discount rate the firm should use to evaluate projects with the same level of risk as the firm

Reviews

Write a Review

 

Finance Basics Questions & Answers

  Describe each of the following statistical terms and where

describe each of the following statistical terms and where applicable define with the appropriate equation range

  What is the cost of preferred stock

Samuelson Plastics has 7.5 percent preferred stock outstanding. Currently, this stock has a market value per share of $52 and a book value per share of $38. What is the cost of preferred stock?

  Aperture science has stocks with a required rate of return

aperture science has stocks with a required rate of return of 12. their return on equity is 14 and they have a

  Identify some of the alternative sources for leverage borrow

Identify some of the alternative sources for leverage borrowing

  What annualized return is embedded in its anticipation

Assuming it is a seed-stage firm with no existing investors, what annualized return is embedded in its anticipation?  Suppose the founder wants to have a venture investor inject $15 million in three rounds of $5 million at times 0, 1, and 2 with a ti..

  A mysterious black stallion with great form

Hippique s.a., which owns a stable of racehorses, has just invested in a mysterious black stallion with great form but disputed bloodlines. Some experts in horseflesh predict the horse will win the coveted Prix de Bidet;

  Determine the preferred stock price

What is the preferred stock price if the required rate of return is 11% and what could be the maximum payment to the preferred stockholders on a per share basis?

  Analysis and decision-making

To complete your Individual Assignment, do the following: Please answer the Individual Assignment in a single Word document ------------------------ Individual Assignment 1E: Final Project A recurring theme of this module has been the value of data t..

  What is the fundamental difference between a sensitivity

what is the fundamental difference between a sensitivity analysis and a scenario

  What is scientific software effective annual rate

What is Scientific Software's effective annual rate of interest if it borrows $100,000 for 12 months? For 6 months? For 3 months? (Note: Assume a 365- day year and a prime rate that remains at 8.5% during the life of the loan.)

  Goodwood golfings earnings available for common

1. bond interest payments before and after taxes.zylex corp has issued 2500 bonds with a total principal value of

  U.s. firms have strong incentives to purchase

During periods of high inflation, U.S. firms have strong incentives to purchase short-lived assets and frequently replace them, rather than investing in long-lived assets. True, False, Uncertain and explain

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