What was your total real return on investment

Assignment Help Finance Basics
Reference no: EM13281168

You bought one of Great White Shark Repellant Co.'s 8 percent coupon bonds one year ago for $1030. These bonds make annual payments and mature 14 years from now. Suppose you decide to sell your bonds today, when the required return on the bonds is 7%. If the inflation rate was 4.2% over the past year, what was your total real return on investment?

Reference no: EM13281168

Questions Cloud

Find the magnitude of the electric field in the space : Consider a pair of charged parallel plates, each having an area of 5cm^2. what is the magnitude of the electric field in the space
Explain treatment of the solution with dilute bacl2 : Assume that you have an aqueous solution of an unknown salt. Treatment of the solution with dilute BaCl2, AgNO3, and Cu(NO3)2 produces no precipitate. Which of the following anions might the solution contain
Determine at what frequency will the gain be down by 3db : Attach a capacitor of value 0.001μF in parallel with the feedback resistor of your non-inverting amplifier. At what frequency will the gain be down by 3dB. Draw and design a non-inverting amplifier with a gain of 6 V/V.
What is the tension in the cables : A 20 kg loudspeaker is suspended 2.0m below the ceiling by two cables that are 30 degrees from vertical. what is the tension in the cables
What was your total real return on investment : Suppose you decide to sell your bonds today, when the required return on the bonds is 7%. If the inflation rate was 4.2% over the past year, what was your total real return on investment?
Design an op-amp circuit that meets the specifications : When the variable resistor is adjusted to one extreme position the overall circuit voltage gain should be 3. When the variable resistor is adjusted to its other extreme position the overall circuit voltage gain should be 13.
What was your total nominal rate of return : Assuming a $1,000 face value, what was your total dollar return on this investment over the past year?
What would the bank angle be for a circular racetrack : What would the bank angle be for a circular racetrack with radius 120 m so that a car can go around the curve safely at a maximum of 21 m/s
Determine the max and min principle stresses : The stress at a point in a two dimentional loading is such that the mohrs circle is a point located at 175 mpa on the possitive normal axis so determine the max and min principle stresses and their directions....

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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