Chronowerx Inc. has issued a bond that has a face value of $1,000, a 3% coupon rate
Question:
Chronowerx Inc. has issued a bond that has a face value of $1,000, a 3% coupon rate (with semiannual interest), and a maturity date four years from now. If the bond’s current price is $895, what is its yield to maturity?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 72% (11 reviews)
3 percent 32 4 01...View the full answer
Answered By
James Warinda
Hi! I’m James Otieno and I'm an experienced professional online tutor with countless hours of success in tutoring many subjects in different disciplines. Specifically, I have handled general management and general business as a tutor in Chegg, Help in Homework and Trans tutor accounts.
I believe that my experience has made me the perfect tutor for students of all ages, so I'm confident I can help you too with finding the solution to your problems. In addition, my approach is compatible with most educational methods and philosophies which means it will be easy for you to find a way in which we can work on things together. In addition, my long experience in the educational field has allowed me to develop a unique approach that is both productive and enjoyable.
I have tutored in course hero for quite some time and was among the top tutors awarded having high helpful rates and reviews. In addition, I have also been lucky enough to be nominated a finalist for the 2nd annual course hero award and the best tutor of the month in may 2022.
I will make sure that any student of yours will have an amazing time at learning with me, because I really care about helping people achieve their goals so if you don't have any worries or concerns whatsoever you should place your trust on me and let me help you get every single thing that you're looking for and more.
In my experience, I have observed that students tend to reach their potential in academics very easily when they are tutored by someone who is extremely dedicated to their academic career not just as a businessman but as a human being in general.
I have successfully tutored many students from different grades and from all sorts of backgrounds, so I'm confident I can help anyone find the solution to their problems and achieve
0.00
0 Reviews
10+ Question Solved
Related Book For
Question Posted:
Related Video
The yield to maturity (YTM) is the percentage rate of return for a bond assuming that the investor holds the asset until its maturity date. This video will give a complete tutorial on how to calculate Yield to Maturity on Microsoft Excel
Students also viewed these Business questions
-
A firm has just issued a bond that has a face value of $1,000, a coupon rate of 8 percent paid semiannually, and matures in 8 years The bonds were issued with a yield to maturity of 9. Assume that 4...
-
Instructions: Enter all answers directly in this worksheet. When finished select Save As, and save this document using your last name and student ID as the file name. Upload the data sheet to...
-
Many institutions have fixed future liabilities to meet (such as pension payments) and they fund these future liabilities using default-free fixed income securities. When discount bonds of all...
-
At the beginning of the year, Plummer's Sports Center bought three used fitness machines from Advantage, Inc. The machines immediately were overhauled, installed, and started operating. The machines...
-
Another method for dating rocks was used before the advent of the potassium-argon method described in Case Study 7.5.1. Because of a minerals lead content, it was capable of yielding estimates for...
-
When the structure of compound A was determined in 1912, it was found to have an unusually long C-C bond and unusually large C-C-C bond angles, compared with the similar parameters for compound B...
-
Given that x is a hypergeometric random variable with N = 7, n = 3, and r = 4, compute the following: LO9 a. P1x = 12 b. P1x = 02 c. P1x = 32 d. P1x = 42
-
1. What factors should be considered when developing inventory systems for the 10,000 items carried by Dano's? What are the key differences between items that would affect how their inventory is...
-
Current Attempt in Progress Carla Company is involved in four separate industries. The following information is available for each of the four industries. Determine which of the operating segments...
-
Four masses A, B, C and D revolve at equal radii and are equally spaced along a shaft. The mass B is 7 kg and the radii of C and D make angles of 90 and 240 respectively with the radius of B. Find...
-
The coupon rate of a bond is typically ________. a. Fixed at the time of bond issuance b. Subject to change based on the federal funds rate c. Zero in the case of zero-coupon bonds d. Both A and C
-
Describe reinvestment risk for a bondholder.
-
In a normal respiratory cycle the volume of air that moves into and out of the lungs is about 500 mL. The reserve and residue volumes of air that remain in the lungs occupy about 2000 mL and a single...
-
Jennifer purchased stock at $50 per share with a 75% initial margin requirement and a maintenance margin of 35%. How much equity per share must Jennifer contribute when the stock falls to $15 per...
-
Thinking about your present job and your "inventory"of leadership traits and characteristics, where are your strengths and weaknesses as a leader?Is being a leader desirable? If yes, what motivates...
-
You are facing a complex decision with several courses of possible action and probabilities associated with them. The current decision tree, based on the best possible estimates of probabilities and...
-
1. In what ways has Marriot proven an industry leader in the context of entrepreneurship in the hospitality industry. 2. What are the author's metrics of measuring entrepreneurial activity, and do...
-
Suppose you want to model the relationship between the interest rate, the economic growth rate and the inflation rate. what would be first model to fit explain.
-
What uniquely numbered part of the Internal Revenue Code does a tax researcher usually cite?
-
A Alkynes can be made by dehydrohalogenation of vinylic halides in a reaction that is essentially an E2 process. In studying the stereochemistry of this elimination, it was found that...
-
What promotion blend would be most appropriate for producers of the following established products? Assume average- to large-sized firms in each case and support your answer. a. Chocolate candy bars....
-
A small company has developed an innovative new spray-on glass cleaner that prevents the buildup of electrostatic dust on computer screens and TVs. Give examples of some low-cost ways the firm might...
-
Would promotion be successful in expanding the general demand for: ( a ) almonds, ( b ) air travel, ( c ) golf clubs, ( d ) walking shoes, ( e ) high-octane unleaded gasoline, ( f ) single-serving,...
-
When direct materials are issued from the storeroom, are any entries made in the subsidiary records? Question 2 options: Increase raw material item record Decrease raw material item record No entry...
-
Riverrun Co. provides medical care and insurance benefits to its retirees. In the current year, Riverrun agrees to pay $5,500 for medical insurance and contribute an additional $9,000 to a retirement...
-
DETAILS 1. [-/1 Points) SMITHNM13 11.2.025. MY NOTES Convert the credit card rate to the APR. Oregon, 2% per month % Need Help? ReadIt Watch
Study smarter with the SolutionInn App