Question: Do not answer unless you can answer all of them please. A semiannual corporate bond has a face value of $1,000, a yield to maturity
Do not answer unless you can answer all of them please.A semiannual corporate bond has a face value of $1,000, a yield to maturity of 8.7 percent, and a coupon rate of 8.5 percent. The bond matures 15 years from today. This bond: has a current yield of 4.32 percent. sells at a discount. is currently quoted at a price of 101.87. pays interest payments of $85.00 every six months. The price you receive when you sell a Treasury bond is the price. bid yield call asked Which one of the following statements is correct regarding interest rate risk? A 3-year, 2 percent coupon bond has more interest rate risk than a 5-year, 2 percent coupon bond. A 10-year zero coupon bond has more interest rate risk than a 10-year coupon bond. A 6-year, 9 percent coupon bond has more interest rate risk than a 6-year, 5 percent coupon bond. A 7-year zero coupon bond has more interest rate risk than a 10-year zero coupon bond. An investor is considering two bonds, a 6.25 percent municipal bond and an 8.75 percent taxable bond. If the investor is in the 28 percent tax bracket, which bond should she chose? Why? Ignore state and local taxes. the taxable bond; it has a higher aftertax yield the taxable bond, it has a lower aftertax yield the municipal bond; it is exempt from all taxes the municipal bond, it has a higher aftertax yield Katie earned 9.5 percent on her investments last year. If her real rate of return was 5.9 percent, what was the inflation rate for the year? 3.40 percent 3.60 percent 3.80 percent 4.00 percent
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