Question
Q1. Deep Value, Inc.'s annual stock returns for the last ten years are: -5%, 15%, 11%, 18%, -8%, 9%, 16%, -3%, -2%, and 25%.The Market
Q1. Deep Value, Inc.'s annual stock returns for the last ten years are: -5%, 15%, 11%, 18%, -8%, 9%, 16%, -3%, -2%, and 25%.The Market Index's annual returns for the same ten years are:10%, 22%, 9%, 13%, -7%, 8%, 15%, -13%, -12%, and 18%.What is Deep Value's beta coefficient?Enter your answer rounded to two decimal places.For example, if your answer is 12.345 then enter as 12.35 in the answer box.
Q2. ABC Enterprises' bonds currently sell for $1,175.They have a 5-year maturity, an 8% coupon rate with interest paid semi-annually, and a par value of $1,000.What is their current yield?Enter your answer rounded to two decimal places.Do not enter % in the answer box.For example, if your answer is 0.12345 or 12.345% then enter as 12.35 in the answer box.
Q3.Tropical Resort, Inc.'s bonds currently sell for $1,350 and have a par value of $1,000.They pay a 12% coupon rate with interest paid semi-annually, and have a 15-year maturity, but they can be called in 5 years at $1,125.What is their yield to call (YTC)?Enter your answer rounded to two decimal places.Do not enter % in the answer box.For example, if your answer is 0.12345 or 12.345% then enter as 12.35 in the answer box.
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