(Bond valuation) A \$1,000 face value bond has a remaining maturity of 10 years a related questions

• 1(Bond Valuation) A \$1,000 face value bond has a remaining maturity of 10 years a

(Bond Valuation) A \$1,000 face value bond has a remaining maturity of 10 years and a required return of 9%. The bonds coupon rate is 7.4% What is the fair value of this bond?

• 2(Bond valuation) A \$1,000 face value bond has a remaining maturity of 10 years a

(Bond valuation) A \$1,000 face value bond has a remaining maturity of 10 years and a required return of 9%. The bond’s coupon rate is 7.4%. What is the fair value of this bond?

• 3A1. (Bond valuation) A \$1,000 face value bond has a remaining maturity of 10 yea

A1. (Bond valuation) A \$1,000 face value bond has a remaining maturity of 10 years and arequired return of 9%. The bond’s coupon rate is 7.4%. What is the fair value of this bond?

• 4A1. (Bond valuation) A \$1,000 face value bond has a remaining maturity of 10 yea

A1. (Bond valuation) A \$1,000 face value bond has a remaining maturity of 10 years and a required return of 9%. The bond’s coupon rate is 7.4%. What is the fair value of this bond?A10. (Dividend discount model) Assume RHM is expected to pay a total cash dividend of \$5.60 next year and its dividends are expected to grow at a rate of 6% per year forever. Assuming annual dividend payments, what is the current market value of a share of RHM stock if the required return on RHM common stock is 10%?5.60 = 5.60 =14010-6 45.60 = 5.60 =1.40.10.-06 .04A12. (Required return for a preferred stock) James River \$3.38 preferred is selling for \$45.25. The preferred dividend is nongrowing. What is the required return on James River preferred stock?A14. (Stock valuation) Suppose Toyota has nonmaturing (perpetual) preferred stock outstanding that pays a \$1.00 quarterly dividend and has a required return of 12% APR (3% per quarter). What is the stock worth? \$33.33B16. (Interest-rate risk) Philadelphia Electric has many bonds trading on the New York Stock Exchange. Suppose PhilEl’s bonds have identical coupon rates of 9.125% but that one issue matures in 1 year one in 7 years, and the third in 15 years. Assume that a coupon payment was made yesterday.a. If the yield to maturity for all three bonds is 8%, what is the fair price of each bond?b. Suppose that the yield to maturity for all of these bonds changed instantaneously to 7%. What is the fair price of each bond now?c. Suppose that the yield to maturity for all of these bonds changed instantaneously again, this time to 9%. Now what is the fair price of each bond?d. Based on the fair prices at the various yields to maturity, is interest-rate risk the same, higher, or lower for longer-versus shorter-maturity bonds?B20. (Constant growth model) Medtrans is a profitable firm that is not paying a dividend on its common stock. James Weber, an analyst for A. G. Edwards, believes that Medtrans will begin paying a \$1.00 per share dividend in two years and that the dividend will increase 6% annually thereafter. Bret Kimesone of James’ colleagues at the same firm, is less optimistic. Bret thinks that Medtrans will begin paying a dividend in four years, that the dividend will be \$1.00, and that it will grow at 4% annually. James and Bret agree that the required return for Medtrans is 13%.a. What value would James estimate for this firm?b. What value would Bret assign to the Medtrans stock?

• 5s bond government savings bond for half its face value today and it matures in 12 years you'll receive the full face or par value

You can buy a u.s bond government savings bond for half its face value today and it matures in 12 years you'll receive the full face or par value. That means you can buy a \$100 par value savings bond for only \$50 today and in 12 years you can redeem it for \$100. What interest rate are you getting in this deal?

• 6A bond with a face value of \$100 matures in 5 years and has 10 semi-annual coupons of \$5 each remaining

A bond with a face value of \$100 matures in 5 years and has 10 semi-annual coupons of \$5 each remaining. If the bond is selling for \$145, then its annual yield to maturity is (around 1%). The answer is in brackets, but I don't understand how to get that answer.

• 7Microhard has issued a bond with the following characteristics: Par: \$1,000 Time to maturity: 17 years Coupon rate: 8 percent Semiannual payments Calculate the price of this bond if the YTM is

Microhard has issued a bond with the following characteristics:   Par: \$1,000 Time to maturity:  17 years Coupon rate:  8 percent Semiannual payments   Calculate the price of this bond if the YTM is

• 8Bond Valuation/ Yield Maturity

Callaghan Motors' bonds have 10 years remaining to maturity. Interest is paid annually; they have a \$1,000 par value; the coupon interest rate is 6.5%; and theyield to maturity is 7%. What is the bond's current market price? Round your answer to two decimal places._____________Nungesser Corporation's outstanding bonds have a \$1,000 par value, a 9% coupon paid semiannually, 18 years to maturity, and an 7% YTM. What is the bond's price?Round your answer to two decimal places._______________A bond has a \$1,000 par value, 10 years to maturity, a 7% annual coupon, and sells for \$985.a. What is its yield to maturity (YTM)? Round your answer to two decimal places.___________%b. Assume that the yield to maturity remains constant for the next 5 years. What will the price be 5 years from today? Round your answer to twodecimal places.___________

• 9Can you please give me coipuke website where i can learn how to compute a bond price, yield maturity, macaulay duration bond, modified duration of the bond, interest paid semiannually,etc

• 10A bond price of \$987.50 has a face value of \$1000, pays 5% semiannually, and will repay the face value in 15 years

A bond price of \$987.50 has a face value of \$1000, pays 5% semiannually, and will repay the face value in 15 years.5% tables Present Values Pv Annuityyear 13 .53032 9.39357year 14 .50507 9.89864year 15 .48102 10.37966What is the yield to maturity of the loana) 4.9%b) 5.14%c) 5.00%d) 2.57%Can you please include how you got the answer?

• 11Number of Years to maturity on bond

A 5.25% annual coupon rate bond that currently sells for \$1120.56 and has a yield to maturity of 4.2%. The number of years to maturity is?The answer is given: 16 years; however I am having trouble figuring out the PV, FV, PMT, I/Y, Etc. to get there

• 12If CD, Inc., has a bond with a 5.25% coupon and a maturity of 20 years but which was lower...

Determine the current market prices of the following \$1,000 bonds if the comparable rate is 10% and answer the following questions.XY 5.25% (interest paid annually) for 20 yearsAB 14% (interest paid annually) for 20 yearsC. If CD, Inc., has a bond with a 5.25% coupon and a maturity of 20 years but which was lower rated, what would be its price relative to the XY, Inc., bond?Explain.