What is the yield-to-maturity of this bond

Assignment Help Financial Management
Reference no: EM132061103

United Air has a 7.5% coupon 30 year bond (par value = 1,000). Assume that coupon payments are semi-annual and that the current price is $1040.60. What is the yield-to-maturity of this bond? Be sure to report on an annualized basis and as a raw number - i.e. if your answer is 6.5%, input as 6.5.

Reference no: EM132061103

Questions Cloud

Market value of the insurance company loan investment : What is the market value of the insurance company’s loan investment after the changes in interest rates?
Company offer and investing the premium on your own : what rate of interest would you be indifferent between accepting the company's offer and investing the premium on your own?
Identify combined eight ratios : Identify a combined eight ratios from the following two categories:
An electronic store receives shipment : An electronic store receives a shipment of 25 graphing calc. including six that are defective.
What is the yield-to-maturity of this bond : Assume that coupon payments are semi-annual and that the current price is $1040.60. What is the yield-to-maturity of this bond?
What are various alternatives to having the clinic show : What are various alternatives to having the Clinic show at least zero net income for the year. (
What will be the cash flows of this project in millions : Your firm is considering an overseas expansion.What will be the cash flows of this project in millions?
Presented proposal for project : You are presented a proposal for a project. What is the NPV of this project if your WACC is 15%?
What is the effective annual rate of the discount : What is the effective annual rate of the discount if the firm purchases $1,750 worth of merchandise?

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

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