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sertanlavr [38]
2 years ago
5

The price of a coupon bond and the yield to maturity are ________ related; that is, as the yield to maturity ________, the price

of the bond ________.
Business
1 answer:
shepuryov [24]2 years ago
8 0

Based on the relationship between the above mentioned measures, the following is true:

  • Price and yield to maturity are <u>inversely </u>related.
  • When YTM <u>rises</u>, the price of the bond <u>falls</u>.

<h3>What is Yield to Maturity?</h3>
  • It is the discount rate on the bond.
  • It shows the riskiness of the bond.

When the YTM is high, it means that the bond is more risky which leads to it having a lower price to compensate for the risk. The reverse is true.

Find out more on YTM at brainly.com/question/15172286.

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Three months ago, Central Supply stock was selling for $51.40 a share. At that time, you purchased five put options on the stock
oee [108]

Answer:

$4,350

Explanation:

Calculation to determine your net profit or loss on this investment

Net profit = (-$0.60 - $42.70 + $52) × 100 × 5

Net profit= $4,350

Therefore your net profit or loss on this investment is $4,350

7 0
3 years ago
Margie received her store order on 12 3 16 at 4:00 a.M. She just opened one of the fountain bibs today 12 7 16 at 12:00 p.M. The
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Answer and Explanation:

The correct way for putting this on expiration paper is as follows

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Therefore we applied the given information to arrive at an answer

6 0
4 years ago
An official statement has a dated date of March 1, but the first interest payment is October 15. This most likely reflects A) a
Greeley [361]

Answer:

A) a long coupon.

Explanation:

Hope this helps you :)

3 0
3 years ago
Suppose that in an attempt to induce citizens to conserve energy, the government enacts regulations requiring all air conditione
Nana76 [90]

Answer:

(A) Because the regulation effectively reduced the price of cool air, consumers with sufficiently elastic demand might have bought substantially more of it.

Explanation:

If the demand for energy services remains constant, improving energy efficiency will reduce energy consumption and carbon emissions. However, many efficiency improvements do not reduce energy consumption by the amount provided by simple engineering models. This is because they make energy services cheaper and therefore increases the consumption of those services.

For example, since low-fuel vehicles make travel cheaper, consumers can choose to drive further, thus offsetting some of the possible energy savings. Similarly, an extensive historical analysis of improvements in technological efficiency has conclusively demonstrated that improvements in energy efficiency were almost always overcome by economic growth, which resulted in a net increase in resource use and associated contamination.

3 0
3 years ago
the required return on the stock of moe's pizza is 12.1 percent and after tax required return on the company's debt is 3.79 perc
Lana71 [14]

Answer:

7.65%

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Percent of debt = 100 - 73 = 27%

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5 0
3 years ago
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