1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Semenov [28]
3 years ago
7

You buy a seven-year bond that has a 6.50% current yield and a 6.50% coupon (paid annually). In one year, promised yields to mat

urity have risen to 7.50%. What is your holding-period return
Business
1 answer:
Harlamova29_29 [7]3 years ago
7 0

The current yield and annual coupon rate of 6.50% show that the bond price was at par a year ago.

The givens are FV=1,000, n= 6, PMT = 65.00, and i= 7.50 so with this we know that the selling price this year is $953.06.

So the holding period return is $1,000+$953.06+$65.00

$1,000=0.0181=1.81%

Hope this helps, now you know the answer and how to do it. HAVE A BLESSED AND WONDERFUL DAY! As well as a great rest of Black History Month! :-)  

- Cutiepatutie ☺❀❤

You might be interested in
planning is an essential part of managing an enterprise. a(n) select plan is developed as a guide during the planning process fo
yaroslaw [1]

planning is an essential part of managing an enterprise. "Strategic" plan is developed as a guide during the planning process for major policy setting and decision making.

What is Strategic plan?

Business executives use the process of strategic planning to determine the aims and objectives of their organisation as well as their long-term vision. Establishing the order in which these objectives should be accomplished can help the organisation achieve its stated vision. Although it can run longer, strategic planning frequently addresses objectives with a life cycle of three to five years. A business plan may cover a time frame of several years to several months.

Why is strategic planning important?

For firms, organisational direction and goals are crucial. Strategic planning offers that kind of guidance. A strategic plan essentially serves as a roadmap for accomplishing organisational goals. It is impossible to tell if a company is on track to achieve its goals without such guidance.

The following four factors should be taken into account when creating a strategy.

1) The mission

2) The goals

3) Alignment with short-term goals.

4) Evaluation and revision.

What are the steps in the strategic planning process?

Depending on the sort of business and the level of granularity necessary, there are a plethora of different approaches to strategic planning. These five steps can be used to outline most strategic planning cycles:

1) Identify

2) Prioritize

3) Develop

4) Implement

5) Update

To learn more about Strategic planning

brainly.com/question/17924318

#SPJ4

4 0
10 months ago
He embryo is most susceptible to adverse influences during the period from 15 to 60 days after conception. this period is referr
Harman [31]
~Hello There!~

This period is referred to as the period of organogenesis.

Hope This Helps You!
Good Luck :)
Have A Great Day ^_^

- Hannah ❤ 
7 0
3 years ago
What is the benefits of international bussiness to firms ?​
muminat

Answer:

Benefits to Firms

It helps in improving profits of the organizations by selling products in the nations where costs are high. It helps the organization in utilizing their surplus resources and increasing profitability of their activities. Also, it helps firms in enhancing their development prospects.

Explanation:

i just looked it up so hope it helps ;)

4 0
2 years ago
Suzie has $16,000 in her investment account today. She saves $500 a quarter and earns 8% interest compounded quarterly. How much
andrezito [222]

Suzie has  $26,997.90  in her account three years from now in her investment.

An investment is an asset or object obtained with the intention of generating profits or appreciation. Appreciation refers to an increase within the fee of an asset over time. when an individual purchases an excellent as an funding, the rationale isn't always to eat the good however alternatively to use it inside the future to create wealth.

investment = $16000

FV = future value

PV = present value = 16,000

r = interest rate = 8% / 4 = 2% per quarter

n = number of quarters = 3 * 4 = 12

The future value of the single investment is:

FV=PV∗(1+r)n

FV=16,000∗(1+0.02)12

FV=$20,291.86

Annuity of $500 per quarter

Let

FVA be the future value of the annuity

PMT be the periodic payment

The future value of the annuity is:

FVA = PMT × (1+r)ⁿ - 1 / r

       = 500 × (1+ 0.02)¹² - 1 /0.02

      = $6,706.04

After 3 years, her account balance will be the sum of these two future values:

Balance = FV + FVA = 20,291.86 + 6,706.04 = 26,997.90

Suzie will have $26,997.90 in her account.

Learn more about investment here:-brainly.com/question/25300925

#SPJ4

5 0
1 year ago
What are command groups also known as
Fiesta28 [93]
Informal groups is something command groups were also known as.
4 0
3 years ago
Other questions:
  • On January 1, 2018, the stockholders’ equity section of Nance Corporation shows: Common stock ($2 par value) $1,200,000; paid-in
    5·1 answer
  • Give examples of import export and entreport trade​
    10·1 answer
  • Serge is a landscape architect who manages a team of 12 employees who work primarily on commercial landscaping projects. Serge i
    8·1 answer
  • AllTech Corporation had a balance of $ 1 comma 800 in Prepaid Supplies at the beginning of the year. The company purchased $ 1 c
    12·1 answer
  • Sue, a vita/tce site coordinator, was watching the local news when she saw aaron, a new tax law-certified volunteer, in a story
    5·1 answer
  • Glaston Company manufactures a single product using a JIT inventory system. The production budget indicates that the number of u
    9·1 answer
  • For Gundy Company, units to be produced are 5,280 in quarter 1 and 6,400 in quarter 2. It takes 2.0 hours to make a finished uni
    14·1 answer
  • Monty loaned his friend Ned $20,000 three years ago. Ned signed a note and made payments on the loan. Last year, when the remain
    12·1 answer
  • Suppose the governments of two different economies, economy A and economy B, implement a permanent tax cut of the same size. Inv
    7·1 answer
  • how much of a stock's $30 price is reflected in pvgo if it expects to earn $4 per share, has an expected dividend of $2.50, and
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!