What is the current price of the bond

Assignment Help Finance Basics
Reference no: EM131378950

Finance: zero-coupon bond

Question

Marco Chip, Inc. just issued zero-coupon bonds with a par value of $1,000. The bond has a maturity of 12 years and a yield to maturity of 10.33 percent, compounded semi-annually. What is the current price of the bond?

Reference no: EM131378950

Questions Cloud

Calculate the bonds price today : General Mills has a $1,000 par value, 26-year to maturity bond outstanding with an annual coupon rate of 10.00 percent per year, paid semiannually. Market interest rates on similar bonds are 9.14 percent. Calculate the bond's price today.
What are numbers of teeth and pitch diameters of two gears : A pair of spur gears on 168 mm centers have a 3 : 1 speed reduction ratio. With a module of 4 mm, what are the numbers of teeth and pitch diameters of the two gears?
What is the yield to maturity of a five-year bond : What is the yield to maturity of a 5-year bond that pays a coupon rate of 7.60 percent per year, has a $1,000 par value, and is currently priced at $1,255? Assume annual coupon payments.
Discuss the nature and history of the puritan protectorate : Respond to each item in a complete, concise paragraph. Briefly discuss the nature and history of the Puritan Protectorate. Discuss the ways non-Muslims were treated in the Islamic world
What is the current price of the bond : Marco Chip, Inc. just issued zero-coupon bonds with a par value of $1,000. The bond has a maturity of 12 years and a yield to maturity of 10.33 percent, compounded semi-annually. What is the current price of the bond?
What was role of civil service examinations in ming china : What effect did the boom in the demand for rubber have on Africa's European colonies? With respect to slavery, how did the Mughal Empire differ from the Safavid and Ottoman Empires? What was the role of civil service examinations in Ming China
What is the yield to call of a thirty-years to maturity bond : What is the yield to call of a 30-year to maturity bond that pays a coupon rate of 14.81 percent per year, has a $1,000 par value, and is currently priced at $915? The bond can be called back in 6 years at a call price $1,076.
Determine graphically the sliding velocity : Determine graphically the sliding velocity between the teeth at the start of contact
Discuss various school practices : Using appropriate examples, discuss various school Practices that may discourage dialogue and the development of democratic values among learners during learning and teaching processes in education

Reviews

Write a Review

Finance Basics Questions & Answers

  Engaging in the time value of money discussion

Engaging in the time value of money discussion

  Calculate the cost of the marginal investment

Calculate the cost of the marginal investment in accounts receivable. Should the firm implement the proposed change? What other information would be helpful in your analysis?

  What is a production report

What is a production report? What purpose does this report serve?- In assigning costs to goods transferred out, how do the weighted average and FIFO methods differ?

  Suppose that a countrys real growth is 2 percent per year

assume that a countrys real growth is 2 percent per year while its real deficit is rising 5 percent a year. can the

  At what price should the logos corporation sell these bonds

To price these bonds competitively with other bonds of equal risk, it is determined that they should yield 9 percent, compounded annually. At what price should the Logos Corporation sell these bonds?

  A company currently sells

A company currently sells 60,000 units a month at $10 per unit. The marginal cost per unit is $6. The company is considering raising the price by 10% to $11. If the price elasticity of demand is _______________ in that price range, then profit wou..

  The price per share before the issue was 18 at present

expected price. nelson corporation issues 200000 new shares of common stock to current stockholders at a 15 price per

  How could you use swaptions to restructure the debt

How could you use swaptions to restructure the debt? Explain what happens assuming two subsequent future possibilities: rates going up and rates going down.

  The company is planning on increasing its annual dividend

combined communications is a new firm in a rapidly growing industry. the company is planning on increasing its annual

  A firm has decided to go public by selling 10000000 of new

a firm has decided to go public by selling 10000000 of new common stock. its investment bankers agreed to take a

  Research to develop a new computer game

Research to develop a new computer game.

  What is the difference between investment-saving schedule

1. what is the difference between investment-saving schedule and wacc-investment opportunities schedule?2. do you think

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