What is its coupon rate and bid price in dollars

Assignment Help Financial Management
Reference no: EM131052259

Using Treasury Quotes [LO 2] Locate the Treasury issue in Figure 6.3 maturing in February 2026. Assume a par value of $1,000. Requirement 1: What is its coupon rate? (Do not round intermediate calculations. Round your answer to 3 decimal places (e.g., 32.161).) Coupon rate 6.000 % Requirement 2: What is its bid price in dollars? (Do not round intermediate calculations. Round your answer to 3 decimal places (e.g., 32.1616).) Bid price $ 1413.906 Requirement 3: What was the previous day’s asked price in dollars? (Do not round intermediate calculations. Round your answer to 3 decimal places (e.g., 32.1616).) Asked price $

Reference no: EM131052259

Questions Cloud

Subsequent cash inflows-calculate the payback period : A project has initial costs of $3,000 and subsequent cash inflows of $1350, 775, 875, and 1625. The company's cost of capital is 12%. Calculate the Payback Period for the project.
What will the firms operating profit be at sales : If a firm has a break-even point of 40,000 units and the contribution margin on the firm's single product is $4.00 per unit and fixed costs are $60,000, what will the firm's operating profit be at sales of 30,000 units?
Two projects being considered are mutually exclusive : Two projects being considered are mutually exclusive and have the following projected cash flows. If the required rate of return on these projects is 10 percent, which would be chosen and why?
Requires an initial fixed asset investment : Cochrane, Inc., is considering a new three-year expansion project that requires an initial fixed asset investment of $2,310,000. The fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be worth..
What is its coupon rate and bid price in dollars : Using Treasury Quotes [LO 2] Locate the Treasury issue in Figure 6.3 maturing in February 2026. Assume a par value of $1,000. What is its coupon rate? Coupon rate 6.000 %.  What is its bid price in dollars?
Why is it important to evaluate capital budgeting projects : Why is it important to evaluate capital budgeting projects on the basis of incremental cash flows? Distinguish between three basic cash flow components of a capital project 1) Initial investment 2) Operating cash inflows 3) Terminal cash flows
They feel the business will be worthless : Marko, Inc. is considering the purchase of ABC Co. Marko believes that ABC Co. can generate cash flows of $6,100, $11,100, and $17,300 over the next three years, respectively. After that time, they feel the business will be worthless. Marko has deter..
The treasury bill is expected to yield : The Treasury Bill is expected to yield 3% and the market risk premium is expected to be 8% next year. Nike’s beta coefficient has averaged 1.5 over the last 5 years, but is expected to be 2.0 next year, due in large part to its overseas transactions...
What dollar amount will the lender actually disburse : Mary Smith wants to buy a property for $250,000 and obtains an 80 percent loan. This loan can be obtained for 25 years at 5.75 percent interest (monthly payments) with two points charged on the loan. What dollar amount will the lender actually disbur..

Reviews

Write a Review

Financial Management Questions & Answers

  Required return exceed farleys required return

Bradford Manufacturing Company has a beta of 1.3, while Farley Industries has a beta of 0.85. The required return on an index fund that holds the entire stock market is 10.5%. The risk-free rate of interest is 6.5%. By how much does Bradford's requir..

  What is its days sales outstanding ratio

All for a dollar had accounts receivable of $4,000,000, accounts payable of $3,700,000, inventories of $9,100,000, annual sales of $51,000,000 and net income of $8,750,000. What is its Days Sales Outstanding ratio to two decimal places?

  Considering expanding into another rural area

A local restaurant owner is considering expanding into another rural area. The expansion project will be financed through a line of credit with City Bank. The administrative costs of obtaining the line of credit are $500, and the interest payments ar..

  Issue zero coupon bonds on the market

Atlantis fisheries issue zero coupon bonds on the market at a price of $289 per bond each bond has a face value of $1000 payable at maturity in 20 years. What is the yield to maturity?

  Effective interest rate

Effective Interest Rate-1st Bank offers you a car loan at an annual interest rate of 10% compounded monthly. What effective annual interest rate is the bank charging you?

  If interest is paid annually-what is the bonds price

Bond Yields. A bond with face value $1,000 has a current yield of 6% and a coupon rate of 8%. (LO6-1) If interest is paid annually, what is the bond’s price? Is the bond’s yield to maturity more or less than 8%?

  Annual return mean-standard deviation

Tyler Trucks stock has an annual return mean and standard deviation of 10 percent and 45 percent, respectively. Michael Moped Manufacturing stock has an annual return mean and standard deviation of 10.4 percent and 51 percent, respectively.

  Return on equity return on assets financial leverage ratio

Suppose that an analyst has noticed that the return on equity of the XYZ Company has declined from 2012 to 2013. (millions) 2013 2012 Sales $1,000 $900 Earnings before interest and taxes $400 $380 Interest expense $30 $30 Taxes $100 $90 Total assets ..

  Suppose the risk-free interest rate

Suppose the risk-free interest rate is 4% and the market portfolio has an expected return of 10% and a standard deviation of 16%. Johnson & Johnson Corporation stock has a beta of 0.32. What is its expected return?

  Constructing portfolio of two assets-sharpe ratio

You are constructing a portfolio of two assets, Asset A and Asset B. The expected returns of the assets are 12 percent and 16 percent, respectively. The standard deviations of the assets are 29 percent and 37 percent, respectively.

  About wacc of multinational firm vs that of domestic firm

Which of the following statements about wacc of a multinational firm (mnf) vs that of a domestic firm (df) is false?

  Explain what is the present value of the cash flows

You will receive $1,200 at the end of the next 15 years, assuming a 8% discount rate, what is the present value of the cash flows? Future value of single sum problem

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