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please answer all these multiple chioce questions in the pictures. ASAP!!! Assume the below information to answer the following question(s). Company Ford (F) Coupon 11.0

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Assume the below information to answer the following question(s). Company Ford (F) Coupon 11.0 Maturity July 31, 2014 EST EST Last Price Last Yield Spread UST 65.50 ? 104 10 VOL. (000s) 5,100 19) Jia Hua Enterprises wants to iss bonds. If each bond is priced to Enterprises wants to issue sixty 20-year. $1.000 par value, zero-coupon en bond is priced to vield percent how much will Jia Hua receive (ignoring issuance costs) when the bonds are first sold? A) $11,212 B) $12,873 C) S15,505 D) $18,880 20) Calculate the value of a $1,000 bond which has 10 years until maturity and pays quarterly interest at an annual coupon rate of 12 percent. The required return on similar- risk bonds is 15.09 percent per year. A) $656.82 B) $835.45 C) S845.66 D) S2,201.08 21) rate of interest is the actual rate charged by the supplier and paid by the demander of funds. A) Nominal B) Real C) Risk-free D) Inflationary 22) To compensate for the uncertainty of future interest rates and the fact that the longer the term of a loan the higher the probability that the borrower will default, the lender typically A) charges a higher interest rate on long-term loans B) reserves the right to change the terms of the loan at any time C) includes excessively restrictive debt provisions D) reserves the right to demand immediate payment at any time 23) Corporate bonds have a A) face value of $5,000 B) market price of $1,000 C) specified coupon rate paid annually D) par value of $1,000 24) A type of long-term financing used by both corporations and government entities is A) common stocks B) bonds C) preferred stocks D) retained earnings 25) A firm has an issue of $1.000 par value bonds with a 12 percent stated interest rate outstanding. The issue pays interest annually and has 10 years remaining to its maturity date. If bonds of similar risk are currently caming 8 percent, the firm's bond will sell for today. A) S1,000 B) 805.20 C) $1,115.50 D) $1,268.40 26) Danno is trying to decide which of two bonds to buy. Bond His a 10 percent coupon, 10-year maturity, S1,000 par, January 1, 2000 issue paying annual interest. Bond F is a 10 percent coupon, 10-year maturity, S1,000 par, January 1, 2000 issue paying semiannual interest. The market required return for each bond is 10 percent. When using present value to determine the prices of the bonds, Danno will find that A) there is no difference in price B) the price of F is greater than H C) the price of H is greater than F D) he needs more information before determining the prices. 27) A firm has an issue of $1,000 par value bonds with a 9 percent stated interest rate outstanding. The issue pays interest annually and has 20 years remaining to its maturity date. If bonds of similar risk are currently earning 11 percent, the firm's bond will sell for _today. A) $1,000 B) $716.67 C) $840.73 D) $1,123.33 28) Calculate the value ofa S1.000 band which has 10 years until maturity and pays interest at an annual coupon rate of 12 percent. There w an annual coupon rate of 12 percent. The required retum on similar-risk bonds is 20 percent. A) 5664.60 B) S835.45 C) 8845.66 D) $2,201.08 29) Jia Hua Enterprises wants to issue sixty 20-year. $1.000 par value, zero-coupon bonds. If each bond is priced to vield 6 percent how much will Jia Hua receive ignoring issuance costs) when the bonds are first sold? A) $11,212 B) $12,393 C) $15,505 30) If the coupon rate of a bond is equal to its required rate of return, then A) the current value is not equal to par value B) the current value is equal to par value C) the maturity value is equal to par value D) the current value is equal to maturity value o while bonds which 31) Bonds which sell at less than face value are priced at a sell at greater than face value sell at a A) par, premium B) discount; par C) discount; premium D) coupon, premium 32) The price of a bond with a fixed coupon rate and the required return have a relationship that is best described as A) perfect positive correlation B) constant C) direct D) inverse 13) If the required return is less than the coupon rate, a bond will sell at A) par B) a discount C) a premium D) book value 34) When the required return is constant but different from the coupon rate, the price of a bond as it approaches its maturity date will A) remain constant B) increase C) decrease D) approach par 35) Ir the required return is greater than the coupon rate a bond will sell at A) par B) a discount C) a premium D) book value 36) ABC company has two bonds outstanding that are the same except for the maturity date. Bond D matures in 4 years, while Bond E matures in 7 years. If the required return changes by 5 percent, then A) bond D will have a greater change in price B) bond E will have a greater change in price C) the price of the bonds will be constant D) the percentage price change for the bonds will be equal 37) Tangshan Industries has issued a bond which has a $1,000 par value and a 15 percent annual coupon interest rate. The bond will mature in ten years and currently sells for $1,250. Using this information, the yield to maturity on the Tangshan Industries bond is A) 10.79 percent B) 11.39 percent C) 12.19 percent D) 13.29 percent 38) What is the current price of a $1.000 par value bond maturing in 12 years with a coupon rate of 14 percent, paid semiannually, that has a YTM of 13 percent? A) $604 B) $1,090 C) $1,060 D) $1,073 39) Nico Corp issued bonds bearing a coupon rate of 12 percent, pay coupons semiannually, have 3 years remaining to maturity and are currently priced at $990 pe bond. What is the yield to maturity? A) 12.00% B) 13.99% C) 14.54% D) 15.25% 40) Yield to maturity on a bond with price equal to its par value will A) be less than the coupon rate B) be more than the coupon rate C) be less than or equal to the coupon rate depending on the required return D) always be equal to the coupon rate

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