Question
Given the following information, find the HPR ( holding period return and the average annual HPR. DTD- 03/15/2014 Coupon rate- 4.625% Maturity- 03/15/2024 market price-
Given the following information, find the HPR ( holding period return and the average annual HPR.
DTD- 03/15/2014
Coupon rate- 4.625%
Maturity- 03/15/2024
market price- 93.749 per share (total market price= 22,812.50)
Cost price- 100.30 per share (total cost price = 25,813.25)
NB: HPR = (selling price-original cost + total income)/original cost
NB: Average annual HPR = HPR/ number of years owned
NB: total income (years owned*2*(coupon rate/2)*total par value
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Practical Financial Management
Authors: William R. Lasher
7th edition
128560721X, 9781133593669, 1133593682, 9781285607214, 978-1133593683
