User Account

All Pages

What is the return that you earned

Assignment Help Financial Accounting
Reference no: EM132829310

Question - You are a fixed-income (bond) portfolio manager. On Jan 15, 2021 you purchased five-year bonds with a face value of $5 million and a coupon rate of 4.0% per year, with coupons paid semi-annually. You purchased the bonds at par.

On January 15, 2022 (immediately after receiving the coupon payment), you sell the bonds for $5.1 million. What is the return that you earned from your investment in the bonds? Express this as an annual rate with semiannual compounding.

Reference no: EM132829310

Questions Cloud

Make a statement of changes in stockholders equity : Make a statement of changes in stockholders' equity for the 2018 accounting period. Prat Corp. started the 2018 accounting period with $35,000 of assets.
Experiences with organizational change : Share one of your experiences with an organizational change. Describe the circumstances that led to the change.
What are the challenges to organizational communication : What are the challenges to organizational communication and how do you think these obstacles can be overcome?
Examine a situation from the bigots point of view : Understand the perspective of an individual bigot or homogeneous group of bigots who oppose interracial relationships - choose a character or group from Jungle
What is the return that you earned : On January 15, 2022 (immediately after receiving the coupon payment), you sell the bonds for $5.1 million. What is the return that you earned
Show the before-and-after effects of the dividend : A 15% share dividend (37,350 shares) is declared when the market price per share is £14. Show the before-and-after effects of the dividend
Calculate the price elasticity of demand : Calculate the price elasticity of demand. Is the demand elastic or inelastic? If the average price of an airline ticket on a certain route rises from $200
Limitations of each of the two broad academic disciplines : Consider the following scenario: A few months ago, a student majoring sociology met with her academic advisor. She wanted to change majors and move to a program
Determine number of training programs on team building : Formulate a linear programming model that can be used to determine the number of training programs on team building and the number of training programs

Reviews

Write a Review

Financial Accounting Questions & Answers

  Youve just been hired onto abc company as the corporate

youve just been hired onto abc company as the corporate controller. abc company is a manufacturing firm that

  Calculate the Original net present value

The initial estimates were that the project would cost $230,000, would have a useful life of nine years. Calculate the Original net present value

  What universal robina should disclose major customer data

Universal Robina Corporation , What Universal Robina should disclose major customer data if sales to any single customer amount to at least?

  What will be the effect on profit of accepting the order

What will be the effect on profit of accepting the order? At the start of the current year, the company received an order for 3,000 drives from computer company

  What is the role of the anz bank

When it is first issued at a yield of 4.75% pa and sell it 30 days later to Prudential Investments at a yield of 4.55% pa. What is the role of the ANZ bank?

  Calculate value of a bond that matures in eighteen years

Calculate the value of a bond that matures in 18 years and has a $1,000 par value. The annual coupon interest rate is 9 percent

  Problem on august 31 2010 a company purchased 10000 shares

problem on august 31 2010 a company purchased 10000 shares of stock for 30 per share. management recorded the stock in

  How estimate what is the net present value of the investment

X Company is considering conducting an immediate advertising campaign. Assuming a discount rate of 4%, what is the net present value of this investment?

  Compute kimms total standard cost per unit

Kimm Company has gathered the information shown below about its product. Direct materials. Each unit of product contains 3.90 pounds of materials. The average waste and spoilage per unit produced under normal conditions is 0.70 pounds.

  How to compute berclair basic and diluted earnings per share

Compute Berclair's basic and diluted earnings per share for the year ended December 31, 2018. (Enter your answers in millions)

  Considering the limitation based on adjusted gross income

During the current year, Mary paid the following expenses: Prescription drugs $490 Aspirin and over the counter cold capsules $130 Hospital and doctors $700 Life insurance $260 What is the total amount of medical expenses (before considering the limi..

  Question 1the first case focuses on madoff securities and

question 1the first case focuses on madoff securities and in particular the role that his accountant david friehling

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