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6. You have a portfoho made up of eleven 25-year coupon bonds and 260 shares of common stock The bonds have a coupon rate of

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6. You have a portfoho made up of eleven 25-year coupon bonds and 260 shares of common stock The bonds have a coupon rate of 6.57% and pay semi-annual payments. They currently have a YTM of 7.66% and 13 years left until maturity. The face value of the bonds is $1,000 The stocks just paid a per share dividend of 5.22 and expect to increase this by 5.8% forever after. The required return on the stock is 7.4%. How much is your portfolio worth? a $13,807 b. $13,599 c. 512 548 2.513,456 7. Your company bought a computer for 55.000 three years ago. It has been depreciated over 3 years to zero. Today, the computer was sold and created a tax bill of 552.50. If the tax rate for the company is 21%, what was the sale price of the computer? 151.566 b. 5665 c. $250 d. 5316

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