Nominal interest rate as return on investment

Assignment Help Financial Management

Reference no: EM131319348

A 10 year bond has a face value $3,000,000 and pay dividend every 2 months at a nominal interest rate 10%.You purchased the bond for $1,500 at the time. After 3 years you decide to sell it. What is your selling price if you earned 3% nominal interest rate as return on your investment?

Reference no: EM131319348

Questions Cloud

How many typical noise vectors n are there : Since n is reliably deduced from z by the optimal decoder, the number of syndromes must be greater than or equal to the number of typical noise vectors. What does this tell you about the largest possible value of rate R for a given f?

What action you take to address the given issues : What Action you take to address these issues? Consider both short-term actions and long term learning and configuration of product design and supply processes.

Sampling distribution of sample means : A random sample of 25 bottles is selected from a large quantity of filled bottles. Write down the sampling distribution of sample means. Give the mean and standard deviation of the sampling distribution, and compare the shape of the sampling distr..

What problems and weaknesses could you identify : If you were in the position of John Summers, what problems and weaknesses could you identify? Suppose you were John Summers, and you had prepared a list of suggested improvements for discussion at the PDB meeting.

Nominal interest rate as return on investment : A 10 year bond has a face value $3,000,000 and pay dividend every 2 months at a nominal interest rate 10%.You purchased the bond for $1,500 at the time. After 3 years you decide to sell it. What is your selling price if you earned 3% nominal interest..

Estimate how many binary low-density parity-check codes : [Note that we don't expect a huge number, since almost all low-density parity-check codes are ‘good', but a lowdensity parity-check code that contains its dual must be ‘bad']

Explain the background of one of the training videos : Explain the background of one of the training videos, the content, the learning objectives that it would meet, the time frame it will take, and the style of learners it will appeal to.

Employ the strategy of stopping the first time : Find your expected return if you employ the strategy of stopping the first time that a value at least as large as 3 appears. (Hint: condition on the first roll.)

What is the operating cash flow or ocf : Hammett, Inc. has sales of $19,570, costs of $9,460, depreciation expense of $2,130, and interest expense of $1,620. If the tax rate is 35 percent, what is the operating cash flow, or OCF?

User Account

All Pages