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ICE Princess25 [194]
3 years ago
11

FSU's bonds have a face value of $1,000 and are currently quoted at 867.25. The bonds have a coupon rate of 6.5 percent. What is

the current yield on these bonds?
Business
1 answer:
Andrews [41]3 years ago
4 0

Answer:

the current yield is 7.49%

Explanation:

The computation of the current yield on the bond is shown below:

The current yield is

= Annual coupon payments ÷ Bond price

= ($1,000 ×6.5)  ÷  $867.25

= $65 ÷  $867.25

Hence, the current yield is 7.49%

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Which of these purchases is more likely to be paid for with a credit card?
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D.  Incomplete

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3 years ago
Abe and Bea each have some money to invest in a CD (Certificate of Deposit). Abe has $5,000 and Bea has $20,000. Both are intere
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Answer:

Abe = $17.5

Bae = $57.5

Explanation:

Abe's principle = $5,000

Bea's principle = $ 20,000

Abe individual investment yield at 0.41% = (5010-5000) = $10

Bae's individual investment yield at ) 0.50%= (20000-20050) $50

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