What is the current yield of the bond

Assignment Help Mathematics
Reference no: EM131002844

On May 1, Emerson Fast bought 10 Serenity Ridge bonds with a coupon rate of 7.875%. The purchase price was $101.375, and the commission was $8.00 per bond. Serenity Ridge bonds pay interest on April 1 and October 1.

a. What is the current yield of the bond?

b. What is the total purchase price of the bonds?

c. If Emerson sold the bonds on August 1 for $109.50, what are the proceeds from the sale?

Reference no: EM131002844

Questions Cloud

What mass of water be allowed to come to thermal equilibrium : What mass of water at 28.0oC must be allowed to come to thermal equilibrium with a 2.07-kg cube of aluminum initially at 1.50 x 102oC to lower the temperature of the aluminum to 63.9oC? Assume any water turned to steam subsequently recondenses.
Process of exploration project to mining operation : Describe the process of exploration project to mining operation with reference to the ore resource/reserve estimation process.
Calculate the moment of inertia with respect to an axis : The masses are Q=0.400 kg, R=0.700 kg, and S=0.800 kg. Calculate the moment of inertia (of the 3 masses) with respect to an axis perpendicular to the xy plane and passing through x=0 and y=-2. [Since the masses are of small size, you can neglect t..
What amount will beale report in its 2011 balance sheet : What amount will Beale report in its 2011 balance sheet as a net pension asset or net pension liability for the funded status of the plan?
What is the current yield of the bond : What is the current yield of the bond? What is the total purchase price of the bonds? If Emerson sold the bonds on August 1 for $109.50, what are the proceeds from the sale?
What are rationale transfer of technolog : Question: what are rationale transfer of technology?
Find an equation for the speed of the bullet v : A gun is positioned to fire a bullet of mass m = 8.4 g into the block along the spring axis. After the gun is fired, the bullet gets embedded in the block, and the spring is compressed a maximum distance d. Find an equation for the speed of the b..
Sketch the graph of the construction function : Sketch the graph of the construction function M(r). At what rate of interest r is the rate of construction of new houses minimized? At what time during the morning is the worker performing most efficiently?
Which improvement increases the system reliability more : Compute and compare the probabilities that the system fails when the probability that component C1 functions is improved to a value of 0.98 and when the probability that component C2 functions is improved to a value of 0.88. Which improvement incr..

Reviews

Write a Review

Mathematics Questions & Answers

  Estimate the interest rate the bank

A bank estimated the interest on the $100 debt from 1835 to 1995 to be $420 million. Find/estimate the interest rate the bank was using for 160 years, assuming interest is compounded annually.

  How much of each raw material should be used to maximize

Raw materials A and B are used to make one of the target company's product the product must contain no more than 9units of A and at least 18units of B, it must cost no more than 300$, how much of each raw material should be used to maximize the we..

  Find the formulas for f o f and g o f

Verify whether this function is 1-1 and whether it is onto - Prove that the function f : R - {2} → R - {5} defined by f(x) = 5x + 1/x-2 is a bijection.

  Use the improved euler method

Use the improved Euler method with h=0.05 to find approximate values of the solution of the given initial value problem at t=0.1,0.2,0.3, and 0.4 y'=3+t-y, y(0)=1.

  Calculate the total amount of revenue

Calculate the total amount of revenue (gross profit) that will be lost if the engraver breaks and is down for 18 business days

  Find the probability that the mean of their scores

.With the conditions of problem 1, if 20 students are selected , what is the probability that the mean of their scores is greater than 18?

  How can bad advertising affect market equilibrium

How can bad advertising affect market equilibrium

  How much should you pay for the bond

A municipal bond pays 8.3% interest compounded semiannually on its face value of $2,000. The interest is paid at the end of every half-year period. Fifteen years from now the face value of $2,000 will be returned.

  What does a saddle point or a null point mean

What does a saddle point or a null point mean? What kind of physical meaning could that correspond to?

  What is the cost to remove 75% of the pollutant

Biologists want to set up a station to test alligators in the lake for West Nile Virus. Suppose that the costs for such a station are $2,500 for setup costs and $3.00 to administer each test.

  What speed must he travel to reach a

Robert is travelling on his cycle and has calculated to reach point A at 2 P.M. if he travels at 10 kmph, he will reach there at 12 noon if he travels at 15 kmph. At what speed must he travel to reach A at 1 P.M.?

  Convergent subsequences

If A and U are two subsets of a normed vector space, and U is open, show that A+U is open. Here A+U={a+u | a belongs to A and u belongs to U}.

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