Answered step by step
Verified Expert Solution
Question
1 Approved Answer
1- On july 10,2012 you purchase a $10,000 T-note that matures on july 11,2019. The coupon rate is 8 percent and the current price quoted
1- On july 10,2012 you purchase a $10,000 T-note that matures on july 11,2019. The coupon rate is 8 percent and the current price quoted on the bond is 97.4558 percent. The last coupon payment was on 11 days before settlement, and the next coupon payment will be paid on 174 days from settlement).
Calculate the accrued interest due to the seller from the buyer at settlement.
Calculate the accrued interest due to the seller from the buyer at settlement.
2-You buy a stock for $42 per share and sell for $54 after holding it for slightly over a year and collecting a $4.6 per share dividend. If dividend income is taxed at a 23% rate and capital gains are taxed at 20%, what is your after tax holding period return ? ( write your answer in precentage
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started