How does federal budget deficit affect interest rates

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Reference no: EM131300400

1. How does Federal budget deficit affect interest rates? What about Federal budget surplus?

2. What are the benefits, costs and risks of an aggressive funding strategy and of a conservative funding strategy?

3. Mackery, Inc., has an outstanding issue of preferred stock that pays a $5.94 dividend every year. If this issue currently sells for $117.1 per share, what return to market investors require on it currently?

4. What are the cash flows associated with a bond? What are important bond features and why do values and yields fluctuate?

Reference no: EM131300400

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