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15.17 Suppose the initial price of a French bond is 850, the coupon income is 70, the endofperiod bond price is 1,000, and the franc

15.17 Suppose the initial price of a French bond is 850, the coupon income is 70, the endofperiod bond price is 1,000, and the franc devalues by 6% against the dollar during the period. What was the bond's total dollar return during the period?

a)8.24%

b)18.33%

c)25.88%

d)27.44%

15.18 Suppose an investor buys a Taiwanese bond with a face value of NT20,000, which is priced at NT$19,500 and bears a coupon of NT$1,700. At the end of the year, the investor sells the bond at a price of NT$18,030. During the year, the exchange rate goes from NT$1 = U.S.$0.0375 to NT$1 = U.S.$0.0425. What was the investor's U.S. dollar return on this bond?

a)13.33%

b)4.23%

c)5.69%

d)14.67%

15.19 A Thai baht bond with a coupon of 9.5% is initially priced at its face value of Bt 1,000. At the end of one year, the bond is selling for Bt 1,050. If the initial spot rate was Bt 25 = $1, at what end ofyear exchange rate will the dollar return on the bond just equal 10%?

a)Bt 1 = $0.0384

b)Bt 1 = $0.0416

c)Bt 1 = $0.0482

d)Bt 1 = $0.0324

15.20A Canadian bond is initially priced at its face value of C$1,000. At the end of the year, the bond is selling for C$1,100. If the Canadian dollar appreciates by 10%, with a 5.5% coupon, what will the U.S. dollar return on the bond equal at the end of the year?

a)1.05%

b)27.1%

c)15%

d)20%

15.21Hong Kong bond with a coupon of 10% is initially priced at HK$1,000. At the end of the year, the bond is selling for HK$1,200. If the Hong Kong dollar depreciates by 5%, what will the U.S. dollar return on the bond equal at the end of the year?

a)10%

b)13%

c)23.5%

d)31%

Suppose an investor buys a Japanese bond with a coupon rate of 10% at its price

of 1,100. The bond's face value is 1,000. At the end of the year, the bond is selling at 1,050 and the has depreciated by 10%. What is the dollar return on the bond at the end of the year?

a)-15.6%

b)-5.91%

c)10.3%

d)15.8%

A Euro bond with a coupon rate of 10%is initially priced at its face value of

1000. At the end of the year, the bond is selling at 1,070. If the appreciates by 12% during the year,what is the end ofyear dollar return on the bond?

a)130%

b)105%

c)31.04%

d)95%

A Brazilian bond with a coupon rate of 20% is initially priced at its face value of R$1,000. At the end of the year, the bond is selling at R$1,050. If the real depreciates by 75%, what is the dollar return at the end of the year?

a)-155%

b)-68.75%

c)9.5%

d)8.5%

A Brazilian bond with a coupon rate of 15% at is initially priced at its face value of R$1,000. At the end of the year, the bond is selling at R$950. During the year, the exchange rate goes from R$1 = U.S.$0.75 to R$1 = U.S.$0.85. What is the bond's total dollar return during the period?

a)15%

b)10%

c)22.67%

d)31.25%

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