Suppose you bought a GM corporate bond on January 25, 2001 for $750 and solid it on January 25, 2004 for $650.00. What was your annual holding period yield?
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Suppose you bought a GM corporate bond on January 25, 2001 for $750 and solid it on January 25, 2004 for $650.00.
What was your annual holding period yield?
−0.0466
−0.1333
0.0333
0.3534
0.8667
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- Suppose that the current carrying value of Old Navy's $1872000 face value bonds is $1865200. If the bonds are retired at 101, what would be the amount Old Navy would pay its bondholders? $1890720 $1874080 $1865200 $1872000A corporate bond that you own at the beginning of the year is worth $915. During the year, it pays $53 in interest payments and ends the year valued at $905. What was your dollar return and percent return? (Round "Percent return" to 2 decimal places.) Dollar return Percent returnA corporate bond that you own at the beginning of the year is worth $975. During the year, it pays $35 in interest payments and ends the year valued at $965. What was your dollar return and percent return?
- Suppose you bought an IBM corporate bond on January 25, 2020, for $750, on January 25, 2023, sold it for $650.00. What was your annual holding period return? O None of the rest is correct O 0.9534 O 0.8667 0 0.0333 0-0.1333Suppose an Exxon Corporation bond will pay $1,000 ten years from now. If the going interest rate on safe 10-year bonds is 7.00%, how much is the bond worth today? O a. $483.98 b. $475.09 Oc. $508.35 Od. $502.57 O e. $543.93Suppose an Exxon Corporation bond will pay $1,000 ten years from now. If the going interest rate on safe 10-year bonds is 7.00%, how much is the bond worth today? O a. $543.93 O b. $483.98 O c. $502.57 O d. $475.09 O e. $508.35
- A Treasury bond that you own at the beginning of the year is worth $1,100. During the year, it pays $48 in interest payments and ends the year valued at $1,110.What was your dollar return and percent return?e. $500.00By how much will a bond increase in price over the next year if it currently sells for $925, hasfive years until maturity, and an annual coupon rate of 7%?a. $8.26b. $8.92c. $12.55d. $15.00e. $0 ( Explain well with proper answer and type the Answer) .Assume Lyda Inc. sold bonds with a face value of P500,000 for P530,000. Was the market interest rate equal to or greater than the bonds’ contractual interest rate? What are the financial ratios used to analyze current liabilities and long-term liabilities?
- a. What is the price (expressed as a percentage of the face value) of a 1-year, zero-coupon corporate bond with a AAA rating and a face value of $1,000? b. What is the credit spread on AAA-rated corporate bonds? c. What is the credit spread on B-rated corporate bonds? d. How does the credit spread change with the bond rating? Why? Note: Assume annual compounding.Assume the following Risk Premiums: DRP ? LP = 0.25% MRP =1.15% 10-year Government bonds yield 4.65% 10-year corporate bonds yield 6.75%. What is the default risk premium on corporate bonds?A Treasury bond that you own at the beginning of the year is worth $1,020. During the year, it pays $32 in interest payments and ends the year valued at $1,030.What was your dollar return and percent return? (Round "Percent return" to 2 decimal places.)
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