Jean Miller purchased a $1,000 corporate bond for $860. The bond pays 4 percent annual interest. Three
Question:
Jean Miller purchased a $1,000 corporate bond for $860. The bond pays 4 percent annual interest. Three years later, she sold the bond for $980. Calculate the total return for Ms. Miller’s bond investment.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 40% (5 reviews)
The total return is 240 calculated as f...View the full answer
Answered By
Mugdha Sisodiya
My self Mugdha Sisodiya from Chhattisgarh India. I have completed my Bachelors degree in 2015 and My Master in Commerce degree in 2016. I am having expertise in Management, Cost and Finance Accounts. Further I have completed my Chartered Accountant and working as a Professional.
Since 2012 I am providing home tutions.
3.30+
2+ Reviews
10+ Question Solved
Related Book For
Personal Finance
ISBN: 978-1259720680
12th edition
Authors: Jack R. Kapoor, Les R. Dlabay, Robert J. Hughes, Melissa Hart
Question Posted:
Students also viewed these Business questions
-
Jean Miller purchased a $1,000 corporate bond for $910. The bond pays 5 percent annual interest. Three years later, she sold the bond for $1,010. Calculate the total return for Ms. Miller's bond...
-
On January 1, 2013, Sean purchased an 8%, $100,000 corporate bond for $92,277. The bond was issued on January 1, 2013, and matures on January 1, 2018. Interest is paid semiannually, and the effective...
-
On January 1, 2012, Sean purchased an 8%, $100,000 corporate bond for $92,277. The bond was issued on January 1, 2012, and matures on January 1, 2017. Interest is paid semiannually, and the effective...
-
Governmental Funds Statement of Revenues Expenditures and Changes in Fund Balance. You have recently started working as the controller for a small county. The county is preparing its financial...
-
Tobacco Company of America is a very stable billion-dollar company with sales growth of about 5 percent per year in good or bad economic conditions. Because of this stability (a correlation...
-
(a) Do two counterpropagating waves that have the same wavelength but different amplitudes cause standing waves? (b) Do two counterpropagating waves that have the same amplitude but different...
-
Explain the purpose of a business and describe how businesses are organised and structured.
-
Under what circumstances would you consider the use of terms that are high in connotative meaning to be ethical? When would you consider it to be unethical? Explain your reasoning.
-
The management accountant has left this partially completed process costing template: Physical Units Total Equivalent Units Timber Conversion costs Eq. Units $ $ Eq. units $ Units Beg. WIP Current...
-
Condensed income statements for Pon and its 80 percent-owned subsidiary, Star, appear below. Intercompany profit in Star's ending inventory is $60,000. At the date of combination four years ago,...
-
Calculate the annual interest and the semiannual interest payment for the following corporate bond issues with a face value of $1,000. Annual interest Rate Semiannual Interest Annual Interest Amount...
-
Sandra Waterman purchased a 52-week, $1,000 T-bill issued by the U.S. Treasury. The purchase price was $993. a. What is the amount of the discount? b. What is the amount Ms. Waterman will receive...
-
Chang Company has budgeted the following cash flows: Chang had an $18,000 cash balance on April 1. The company desires a $30,000 cash cushion before paying interest. Funds are assumed to be borrowed,...
-
Crane Company issued $6100000 of 7% 10 year bonds on one of its interest dates for $5268500 to yield an effective annual rate of 9%. The effective interest method of amortization is to be used. How...
-
Set up your ramp such that it has a 1 to 2 angle (make measurements so that you will be able to calculate your angle later). Place your motion detector at the HIGH end of the ramp (so the cart...
-
Use activity-based costing to determine amount of overhead applied to a specific job (calculations required). Great Lakes Company (GLC) manufactures high-end custom couches. GLC usually uses a...
-
In the opening words of his Principles, Alfred Marshall proclaimed economics to be a psychological science. Political Economy or Economics is a study of mankind in the ordinary business of life; it...
-
Inventory transactions for Jack Franklin Stores are summarized in the following table. The company uses the LIFO perpetual method for both financial and tax reporting. Transaction Units Sales in...
-
A population grows according to the given logistic equation, where t is measured in weeks. (a) What is the carrying capacity? What is the value of k? (b) Write the solution of the equation. (c) What...
-
CRUZ, INC. Comparative Balance Sheets December 31, 2015 CRUZ, INC. Income Statement For Year Ended December 31, 2015 Required Use the indirect method to prepare the cash provided or used from...
-
1. Sheldon Cooper and Amy Farrah live in Pasadena, California; have as a new investment goal to create a college fund for their newborn daughter. They estimate that they will need $200,000 in 18...
-
(a) In what types of investments (choose only two) might the Johnsons place the first $2000? Give reasons for your selections. (b) In what types of investments might they place the next $4000? Why?...
-
(a) What rate of return is needed on the $70,000 portfolio to reach their goal of $210,000 (assuming no additional contributions)? Use Appendix A-3 or visit the Garman/Forgue companion website. (b)...
-
Calculate the following ratios for the most current fiscal year company. Liquidity ratios: Working capital Current ratio Acid-test (quick) ratio Efficiency ratios: Accounts Receivable turmover...
-
This lab involved 3 different types of differential stains(capsule staining, endospore staining, and flagellar staining) If you were infected with bacteria that contained one of the 3 structures...
-
Cheyenne Taco Palace sells 300 gift cards at $45 per gift card and 150 of the gift cards are redeemed by year-end. Cheyenne estimates that it will have 10% breakage on its gift cards. Prepare the...
Study smarter with the SolutionInn App