What will be the intrinsic value of the bond

Assignment Help Financial Management
Reference no: EM131616318

let's say that a one thousand par value bond has five years left until maturity. it has a coupon rate of six percent that is paid in semi-annual interest payments , and securities of similar risk are discounted using a four percent interest rate , what will be the intrinsic value of the bond??

let's say that a one thousand par value bond has four years and nine months left until maturity, it has coupon rate of six percent that is paid in semi-annual interest payments and it has a required rate of return equivalent to 8%. What is the intrinsic value of the bond?

let's say that a one thousand par value bond has 22 years until maturity and a coupon rate of 5%, paid semi- annually. If the current bond price is $879, what is the yield-to-maturity (YTM) of the bond?

Reference no: EM131616318

Questions Cloud

Providing a rationale for your reasoning : Assess the fairness of this statement, providing a rationale for your reasoning and a recommendation for future use of this type of investment.
Turned off by operator after each piece is completed : A machine that produces a certain piece must be turned off by the operator after each piece is completed.
How has your reading of original text has been influenced : How has your reading of the original text has been influenced by the articles you have read? What is the support offered for this argument?
Explain the type of fictional public organization : Create, describe, and explain the type of fictional public organization and Describe some of the main services, products, and activities the organization provides to the public.
What will be the intrinsic value of the bond : let's say that a one thousand par value bond has five years left until maturity. what will be the intrinsic value of the bond??
Distributions for the returns on two individual securities : you have estimated the following probability distributions for the returns on two individual securities (SMALL and BIG) and the value-weighted market portfolio.
Shares of common stock outstanding with market price : A firm has 3,000,000 shares of common stock outstanding with a market price of $20.00 per share.
Using the bond information from the prior problem : Using the bond information from the prior problem, what is the percentage change in the market price of this expected from 1% Increase in market interest rates.
What is the expected return and sharpe ratio : Based on your colleague's simulation output, what is the expected return, standard deviation, and Sharpe ratio of the 95/5 portfolio?

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