(Finance) True or False:
The risks of holding corporate bonds are of price, re-investmen...
Business, 23.04.2020 07:00 TerronRice
(Finance) True or False:
The risks of holding corporate bonds are of price, re-investment, default, and liquidity. The longer the maturity, the higher the re-investment risk and the lower the price risk.
A corporate bond issue of Aspire Inc. has a 3-year maturity with a 10% semiannual coupon on a $1,000 par value, and trades at a 10% YTMnow. The bond should trade at $1,000.
Acknowledge Inc.’s 15-year bond with a 10% coupon rate (annual payment) has 3 years until maturity and trades at a 13% YTM. This bond should trade at premium against its face value.
SBU Bank is on a sales campaign for an attractive bond issue: It pays 10% coupons annually on a $1,000 face value with a 3-year to maturity. On today’s Wall Street Journal, if you find that the bond’s last price is quoted at $930 with a reasonable required return at 12%, you should probably wait more to purchase the bond.
Answers: 3
Business, 22.06.2019 09:50
The returns on the common stock of maynard cosmetic specialties are quite cyclical. in a boom economy, the stock is expected to return 22 percent in comparison to 9 percent in a normal economy and a negative 14 percent in a recessionary period. the probability of a recession is 35 percent while the probability of a boom is 10 percent. what is the standard deviation of the returns on this stock?
Answers: 2
Business, 22.06.2019 17:00
Oliver is the vice president of production at his company and has been managing the launch of new software systems. he worked with a team of individuals who were tasked to create awareness about a specific product and also to approach potential purchasers of the product. which department managers were part of oliver’s team?
Answers: 3
Business, 22.06.2019 19:30
Do a swot analysis for the business idea you chose in question 2 above. describe at least 2 strengths, 2 weaknesses, 2 opportunities, and 2 threats for that company idea.
Answers: 2
Business, 22.06.2019 22:00
Brody corp. uses a process costing system in which direct materials are added at the beginning of the process and conversion costs are incurred uniformly throughout the process. beginning inventory for january consisted of 1,050 units that were 65% completed. 10,900 units were started into the process during january. on january 31, the inventory consisted of 500 units that were 50% completed. what would be the equivalent units for direct materials cost using the weighted average method?
Answers: 2
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