User Account

All Pages

What is the current price for bond

Assignment Help Finance Basics
Reference no: EM131441925

Question: A 12% coupon rate bond makes semi-annual interest rate payments. Par value is $1,000. The bond matures in 10 years. The required rate of return is 8%. What is the current price.

a. $1,000.00

b. $1,063.00

c. $1,125.00

d. $1,271.81

e. none of the above

Reference no: EM131441925

Questions Cloud

How does wellbeing change across the lifespan : How does wellbeing change across the lifespan? Evaluate both theory and research evidence in your answer. Discuss what the main limitations of the biopsychosocial model are regarding aging.
What would you do as tyrones sales manager : BMGT 485 7380 and MRKT 475 7980- How should the home-office manager have evaluated the situation? What would you do as Tyrone's sales manager?
Disincentives influence family size decisions : Do you think that economic incentives and disincentives influence family size decisions? Explain your answer giving some specific examples of such incentives and disincentives?
Marginal benefits to continue to exceed his marginal cost : After viewing the video clip from Cool Hand Luke, first consider how marginal benefits and marginal costs fit in to Luke's decision, and how the concept of diminishing marginal utility is at work as Luke eats more and more eggs. What is driving hi..
What is the current price for bond : A 12% coupon rate bond makes semi-annual interest rate payments. Par value is $1,000. The bond matures in 10 years. The required rate of return is 8%. What is the current price.
Maintain the current standard of living : Provide two reasons that an increase in the CPI might overstate how much more expensive it is to maintain the current standard of living.
Some analytical models/tools to aid you in the synthesis : Assume that you are a design engineer and are looking for some analytical models/tools to aid you in the synthesis, analysis, and evaluation process. Develop the criteria that you would apply in selecting the most appropriate tools for your applicati..
Why do people join labor unions : Why do people join labor unions? Would you be interested in joining a labor union if given the opportunity? Why or why not? As a manager, would you prefer to work with a union or would you prefer to that employees be unrepresented by a union?
Human resources director for manufacturer of airline parts : Mira Smith is the human resources director for a manufacturer of airline parts in Montreal. The environment of the company is one of high stress, and Smith realized that she needed to take the steps to ensure that the stress would not affect the phys..

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the npv of the better project

If cash inflows occur at the end of each year, and if Vanderheiden's cost of capital is 10 percent, What is the NPV of the better project?

  Relationship between the price elasticity and total revenue

Explains the relationship between the price elasticity of demand and total revenue. It is highly recommended that you review the Seminar presentation located in the Seminar area before beginning the Discussion.

  Compute the combined projected annual cash flow

Compute the combined projected operating gains/losses over the five-year horizon as the discounted present value of change in cash flows (using 14% as the discount rate), which is due to the pound appreciation and yen depreciation.

  The par value of a bond is 450 the redemption value is 425

the par value of a bond is 450. the redemption value is 425. the bond has nominal annual copoun rate of interest of 4.4

  Dividend payout ratio and retention ratio

Tradewinds Corp. has revenues of $9,651,220, costs of $6,080,412, interest payment of $511,233, and a tax rate of 34 percent. It paid dividends of $1,384,125 to shareholders. Find the firm's dividend payout ratio and retention ratio.

  Would this expansion create value for brook enterprises

Would this expansion create value for Brook Enterprises? Perform a NPV (net present value) analysis.

  What is meant by initial public offering ipo underpricing

What is meant by initial public offering (IPO) underpricing?

  What is the bond yield to maturity

What is the bond's yield to maturity?

  Suppose the interest rate is 92 apr with monthly

suppose the interest rate is 9.2 apr with monthly compounding. what is the present value of an annuity that pays 85

  You are considering an annuity which costs 74100 today the

you are considering an annuity which costs 74100 today. the annuity pays 6000 a year. the rate of return is 5 percent.

  Estimate price of the company stock

The Company has determined that earnings and dividends will decline at a rate of 5 percent yearly. Assume that Ks=11% and Do=$2.00.

  Information for financial analysis

Do you think that the explanatory notes, supplementary schedule, Management's Discussion and Analysis, 10-K filing, Auditor's report and Proxy statements provide more data for financial analysis.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd