Find the cost of 4,000 worth of fixed income, which sold for 80% and the amount...

Transcribed Image Text:

Find the cost of 4,000 worth of fixed income, which sold for 80% and the amount of interest you will ear if the annual interest rate is 4%. Problem #2. Find the cost of 10,000 worth of bonds, which sold for 75% and the amount of interest you will earn if the annual interest rate is 3% Problem #3: Find the cost of 1 million worth of bonds, which sold for 80% and the amount of interest you will earn if the annual interest rate is 5%. Problem #4: Analyze the Global Government Bond Summary of Few Countries GLOBAL GOVERNMENT BONDS Coupon (%) 4.250 0.500 0 500 0 100 2.000 1.625 Country Australia France Germany Japan UK US 'n basis ponts Source: Tullett Prebon Latest Spread Maturity Yield (%) Over Treasurys 10 2.563 10 0.563 10 10 10 10 0.214 -0.092 1.452 1.871 Friday, March 18, 2016 See All Global Government Bonds 1) What country have bigger coupon interest rate? 2) What is percent yield of Germany? 3) What is the previous percent yield of US ? 4) How much higher is the coupon interest of France that Japan? 69.2 -130.8 -155.7 -196.2 41.9 Previous Yield (%) 2.565 0.574 0.230 -0.051 1.456 1.898 Find the cost of 4,000 worth of fixed income, which sold for 80% and the amount of interest you will ear if the annual interest rate is 4%. Problem #2. Find the cost of 10,000 worth of bonds, which sold for 75% and the amount of interest you will earn if the annual interest rate is 3% Problem #3: Find the cost of 1 million worth of bonds, which sold for 80% and the amount of interest you will earn if the annual interest rate is 5%. Problem #4: Analyze the Global Government Bond Summary of Few Countries GLOBAL GOVERNMENT BONDS Coupon (%) 4.250 0.500 0 500 0 100 2.000 1.625 Country Australia France Germany Japan UK US 'n basis ponts Source: Tullett Prebon Latest Spread Maturity Yield (%) Over Treasurys 10 2.563 10 0.563 10 10 10 10 0.214 -0.092 1.452 1.871 Friday, March 18, 2016 See All Global Government Bonds 1) What country have bigger coupon interest rate? 2) What is percent yield of Germany? 3) What is the previous percent yield of US ? 4) How much higher is the coupon interest of France that Japan? 69.2 -130.8 -155.7 -196.2 41.9 Previous Yield (%) 2.565 0.574 0.230 -0.051 1.456 1.898

Answer rating: 100% (QA)

Problem 1 Face value of the fixed income 4000 Selling price 80 of face value ... View the full answer