Friday
May 24, 2013

Search: A 20-year bonds pay 9% interest annually on a $1,000 par value. If bonds sell at $945, what is the bonds' expected rate of return?

Number of results: 48,256

finance
IBM issued $1,000 30 year bonds. The bonds sold for $936 and pay interest semi-annually. The required rate of return is 7%. wha tis the semiannual interest payment on the bonds?
Sunday, October 30, 2011 at 8:52pm by Edward

accounting
On January 2, 2007, a company issued $100,000 of 5%, 10 year bonds. The bonds will mature in ten years. The bonds were sold for for 95% (or .95 of par) and will pay interest semi-annually, or twice a year, on June 30 and Dec 31. Record the journal entries to record the ...
Saturday, October 8, 2011 at 1:49pm by Renee

Finance
Moon Corporation wants to issue $200,000 of 20-year bonds. The bonds pay interest annually with a stated rate of 4 percent. Assuming market rate is 5% compounded semiannually.
Thursday, March 3, 2011 at 9:30pm by Anonymous

finance
One year ago, Auto Land issued 10-year bonds at par. The bonds have a coupon rate of 6.5 percent and pay interest annually. Today, the market rate of interest on these bonds is 6.25 percent. How does today's price of this bond compare to the issue price
Saturday, May 15, 2010 at 12:39am by Anonymous

accounting
herman company received proceeds of $188,500 on 10-year, 8% bonds issued on january 1, 2009. the bonds had a face value of $200,000, pay interest semi-annually on june 30 and december 31, and have a call price of 101. herman uses the straight-line method of amortization. what ...
Wednesday, November 10, 2010 at 6:46pm by debbie

accounting
On January 2, 2010, Wine Corporation wishes to issue $2,000,000 (par value) of its 8%, 10-year bonds. The bonds pay interest annually on January 1. The current yield rate on such bonds is 10%. Using the interest factors below, compute the amount that Wine will realize from the...
Thursday, July 8, 2010 at 3:05pm by Jamie

account
On May 1, 2010, Newby Corp. issued $600,000, 9%, 5-year bonds at face value. The bonds were dated May 1, 2010, and pay interest semiannually on May 1 and November 1. Financial statements are prepared annually on December 31.
Saturday, August 11, 2012 at 6:49pm by mirna

accounting
JTD Corporation issued $800,000 of 20-year, 12% bonds on January 1, 2006, when the market rate of interest was 10%. Interest is payable annually on December 31. Use the present values tables shown via the textbook link above. a. Calculate the price of the bonds on January 1, ...
Monday, April 5, 2010 at 2:37pm by John

accounting
I have figured this out I just want to make sure I am correct in my answers. 1.On January 2, 2007, A company issued $100,000 of 5%, 10 year bonds. The bonds will mature in ten years. The bonds were sold for for 95% (or .95 of par) and will pay interest semi-annually, or twice ...
Saturday, October 8, 2011 at 3:28pm by Renee

Financial Management
XYZ International’s bonds mature in 12 years and pay 7% interest annually. If you purchase the bonds for $1,150, what is your expected rate of return?
Friday, March 25, 2011 at 12:11am by Simone

Accounting
Alliant Corporation sold $100,000,000 face value 8% bonds. The bonds mature in 20 years and pay interest semiannually. The going market rate of interest on bonds of similar risk is 6%. How much will Aliant receive upon the sale of the bonds
Wednesday, May 1, 2013 at 1:17pm by Jessica

maths
I would do it the same up to and including r = 1/20 = 5% After that, I made a mistake which you pointed out. The derivation should finish with S*r = S*0.05 = 20 S = 400 Rs The first year's interest earned is $20. If that is compounded in the second year, the interest ...
Tuesday, December 18, 2012 at 6:17am by drwls

Finance
Zabberer Corporation bonds pay a coupon rate of interest of 12 percent annually and have a maturity value of $1000. The bonds are scheduled to mature at the end of 14 years. The company has the option to call the bonds in 8 years at the premium of 12 percent above the maturity...
Saturday, September 10, 2011 at 9:22pm by Dora

Accounting
Morley Company issued a $7 million face amount of 10% 10-year bonds on June 1, 2004. The bonds pay interest on an annual basis on May 31, each year. 1.
Thursday, June 14, 2007 at 4:22pm by Jimm

Economics
An investor desires to make an investment in bonds provided he realize 10% on his investment. How much can he afford to pay for a $10000 bond that pays 7% interest annually and will mature 20 years hence?
Sunday, April 7, 2013 at 7:37pm by Meme

math
find the present value of ordinary annuity payments of 890 each year for 16 years at 8% compounded annually What is the amount that must be paid (Present Value) for an annuity with a periodic payment of R dollars to be made at the end of each year for N years, at an interest ...
Sunday, September 24, 2006 at 11:26pm by john

Economic
Savings bonds sell for less than their face value because a.banks compete to sell them. b.this is how they pay interest. c.they pay dividends twice a year. d.interest is tax-exempt. Its D right?
Thursday, March 25, 2010 at 9:17pm by candance

Business Maths
Please how do i calculate this problem: The Raymore Company issued 10-year bonds on January 1, 2007. The 15% bonds have a face value of $100,000 and pay interest every January 1 and July 1. The bonds were sold for $117,205 based on the market interest rate of 12%. Raymore uses...
Thursday, December 10, 2009 at 9:04am by Peaches

Bonds
If you pay $1500 for a $1000 face value bond paying 6% coupon, you will get $60 a year interest, and that will be 4% of what you paid. HOWEVER, when the bond matures, you will be paid only $1000, and you will have suffered a $500 loss on the principal. If it was a ten year ...
Friday, October 30, 2009 at 2:38am by drwls

finance
Leggio Corporation issued 20-year, 7% annual coupon bonds at their par value of $1,000 one year ago. Today, the market interest rate on these bonds has dropped to 6%. What is the new price of the bonds, given that they now have 19 years to maturity
Sunday, August 8, 2010 at 9:21pm by jane

Accounting
On January 1, 2008, Boston Enterprises issues bonds that have a 3,400,000 par value, mature in 20 years, and pay 9% interest semiannually on June 30 and December 31. The bonds are sold at par. How much interest will Boston pay (in cash) to the bondholders every six months? ...
Friday, June 27, 2008 at 12:15pm by Xavier

accounting
On January 1, 2004, $100,000,000 in 7.5%, 10-year callable bonds were issued at 96.64% to yield an effective rate of 8.0%. Callable at 103; interest paid annually on January1. If the bonds are called on April 1, 2006, what are the needed payments and entries to extinguish the ...
Tuesday, August 31, 2010 at 7:58pm by maret

acounting
On January 1, 2004, $100,000,000 in 7.5%, 10-year callable bonds were issued at 96.64% to yield an effective rate of 8.0%. Callable at 103; interest paid annually on January1. If the bonds are called on April 1, 2006, what are the needed payments and entries to extinguish the ...
Tuesday, August 31, 2010 at 7:56pm by maret

Business Math
If Wilma borrows $5,000 from her brother (at 5% interest per year) and the loan matures in 10 years, how much will she have to pay annually to pay the loan off in 10 years? How much will she have to pay annually to pay the loan off in four years?
Sunday, February 17, 2013 at 3:08pm by Jordan

Finance
Assume WhirledCom has an issue of 15 year $1000 par value bonds that pay 6% interest, semiannually Futher asssume that today's required rate of return on htese bonds is 9% How much would these bonds be worth today? Round off to the nearest $1
Monday, November 14, 2011 at 4:21pm by Debbie

finance
s bonds trade at 100 today. the bonds pay semiannual interest that is paid on january 1 and july 1. the coupon on the bonds is 10 percent. how much will u pay for a s bond if today is march 1?
Tuesday, August 23, 2011 at 9:35am by ad

finance
uconn has issued a 10 year $5,000,000 bond with semi annual interest payment with a contract rate of interest of 8%..determine the following how much will uconn have to pay to retire the bonds after it pays off the final interest payment at the end of the 10th year?
Monday, December 14, 2009 at 2:48pm by BillReynolds

accounting
uconn has issued a 10 year $5,000,000 bond with semi annual interest payment with a contract rate of interest of 8%..determine the following you: how much will uconn have to pay to retire the bonds after it pays off the final interest payment at the end of the 10th year?
Monday, December 14, 2009 at 2:44pm by BillReynolds

Math
When a person borrows money, like on a credit card or for buying a car, the bank or finance company charges interest. For instance, if you borrow $1,000 for a year and pay 5% interest a year, you'll pay 1,000 * 0.05 = $50 in interest for the year.
Wednesday, November 30, 2011 at 2:03pm by Ms. Sue

Algebra
Joanie takes a $6000 loan to pay for her car. The interest rate on the loan is 12%. She makes no payments for 4 years, but has to pay back all the money she owes at the end of 4 years. How much more money will she owe if the interest compounds quarterly than if the interest ...
Wednesday, April 1, 2009 at 4:16pm by Cassie

accounting
You can invest in 10 corporate bonds paying 7 percent interest 20 conservative stocks that pay substantial dividends(typically 5 percent of the stock price every year) and 30 growth oriented-technology stocks that pay no dividends. Analyze each alternative and select one.
Saturday, October 16, 2010 at 12:06pm by chris

Financial
assume a $1000 face value bond has a coupon rate of 8.5 percent pay interest semi-annually, ahd has an eight-year life. if investors are willingto accept a 10.25 percent rate of return on bonds of similar quality, what is the present value or worth of this bond?
Sunday, September 16, 2012 at 11:04am by Judy

math
That depends upon how much she spent. Some stores require you to pay monthly interest on "no interest for one year" promotions, and then refund the interest at the end of a year if the debt is paid off. Assuming there is not interest to pay, ever, divide the cost by ...
Friday, January 21, 2011 at 11:18am by drwls

Accounting
On January 1, 2007, the Kings Corporation issued 10% bonds with a face value of $100,000. The bonds are sold for $96,000. The bonds pay interest semiannually on June 30 and Decemeber 31 and the maturity date is December 31, 2011. Kings records straight line amortization of the...
Saturday, April 28, 2012 at 6:55pm by Anonymous

Algebra
Ernest receives $555 per year from his $7000 investment in municipal and corporate bonds. His municipal bonds pay 6% and his corporate bonds pay 9%. How much money is invested in each type of bond
Friday, April 1, 2011 at 4:28am by Gman

bond valuation
Bond valuation The Garraty Company has two bond issues outstanding. Both bonds pay $100 annual interest plus $1,000 at maturity. Bondf L has a maturity of 15 years, and Bond S a maturity of 1 year. a. What will the value of each of these bonds when the going rate of interest ...
Sunday, February 25, 2007 at 5:47pm by Gayla D

bond valuation
Bond valuation The Garraty Company has two bond issues outstanding. Both bonds pay $100 annual interest plus $1,000 at maturity. Bondf L has a maturity of 15 years, and Bond S a maturity of 1 year. a. What will the value of each of these bonds when the going rate of interest ...
Sunday, February 25, 2007 at 3:10pm by Gayla D

math
If the government finances $184 billion worth of 20 year old bonds at a fixed rate of 1.8% compounded quarterly , how much will it have to pay back when the bonds mature?
Sunday, December 4, 2011 at 5:11pm by Jess

Math
No, the sale price of the house doesn't matter. It could be 6,000 or 6,000,000; we don't care for this purpose. What we know is that for every 6 dollars Stephen borrows, he has to pay 7 back. What we don't know, that we would like to know, is how long Stephen has ...
Saturday, October 17, 2009 at 10:07am by jim

consumer math
Joe McCain purchased 5 $1,000 bonds at 89. The bonds pay 6%. What was the cost of the bonds? $4,450 ? What was the total annual interest? What is the yield?
Monday, January 14, 2013 at 5:20pm by jenny

economics
Assuming that the bond is a simple-interest bond..... In year 1, the bond pays 100*.04=$4. In year 2 the bond again pays $4. In each of the years 3,4, and 5 the bond pays $4. So, over 5 years, the bond pays..... (Note that some bonds pay compounding interest (the "...
Monday, December 10, 2007 at 1:03am by economyst

finance
Fifteen years ago, Roop Industries sold $400 millions of convertible bonds. The bonds had a 40 year maturity, a 5.75 % coupon rate, and paid interest annually. They were sold at their $1,000 par value. The conversion price was set at $62.75; the common stock price was $55 per ...
Tuesday, September 4, 2007 at 9:28pm by Anonymous

Pre-Cal
This exercise is based on the following table, which lists interest rates on long-term investments (based on 10-year government bonds) in several countries in 2008. Assuming that you invest $9,000 in the United States (3.9%), how long (to the nearest year) must you wait before...
Wednesday, February 29, 2012 at 3:41am by Kim

Finance
Johnson Motors’ bonds have 0 years remaining to maturity. Interest is paid annually, the bonds have a $1,000 par value, and the coupon rate is 8 percent. The bonds have a yield to maturity of 9 percent. What is the current market price of these bonds?
Tuesday, August 30, 2011 at 1:07pm by Ashley

Pre-Cal
This exercise is based on the following table, which lists interest rates on long-term investments (based on 10-year government bonds) in several countries in 2008. Assuming that you invest $12,000 in the Japan(1.5%), how long (to the nearest year) must you wait before your ...
Wednesday, February 29, 2012 at 3:43am by Rick

financial management
current yield for annual payments bonds have 25 years remaining to maturity. the bonds have a face value of $1000 and a yield to maturity of 7 percent. they pay interest annually and have a 11 percent coupon rate. what is their current yield?
Tuesday, December 29, 2009 at 4:55pm by judy

math
Ryan has an eight-year loan for $6,000. He is being charged an interest rate of 5 percent, compounded annually. Calculate the total amount that he will pay.
Thursday, April 26, 2012 at 11:36am by bella

Math
Simple interest is the amount you earn on an investment or pay on a loan. If you borrow $1,000 at 5% interest for a year, you'll pay $50 interest.
Sunday, May 1, 2011 at 10:22pm by Ms. Sue

math
Grossnickle Corporation issued 30-year, noncallable, 8.5% annual coupon bonds at their par value of $1,000 one year ago. Today, the market interest rate on these bonds is 6.5%. What is the current price of the bonds, given that they now have 29 years to maturity?
Saturday, September 22, 2012 at 7:08pm by eric

Finance
Wachowicz Corporation issued 15-year, noncallable, 7.5% annual coupon bonds at their par value of $1,000 one year ago. Today, the market interest rate on these bonds is 5.5%. What is the current price of the bonds, given that they now have 14 years to maturity?
Sunday, October 24, 2010 at 12:44pm by Anonymous

Math
How much would have to be invested at the end of each year at 6% interest compounded annually to pay off a debt of $80,000 in 10 years?
Sunday, December 12, 2010 at 3:55pm by Nick

accounting
On July 1, 2010, Brower Industries Inc. issued $8,900,000 of 9-year, 10% bonds at an effective interest rate of 12%, receiving cash of $7,936,343. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year. ...
Monday, April 25, 2011 at 8:25pm by Kieran McCamment

accounting
As in previous homework, assume you work for a company that has to pay an obligation of USD 1 mln in 1.5 years from today. There are two bonds on the market - one is a 3%-coupon bond, has one year to maturity and is traded at price 101.7854. Another has 2 years to maturity, ...
Wednesday, May 15, 2013 at 3:28am by Anonymous

Engineering Economics
Hi there, I am having some trouble solving this problem, can you give some guidance as to the solution. What is the amount of 10 equal annual deposits that can provide five annual withdrawals, when a first withdrawal of $1000 is made at the end of year 11, and subsequent ...
Tuesday, January 27, 2009 at 10:08pm by Marzi

accounting
4/4/04, Corporation, which has a 12/31 year end authorized $1,500,000 of callable, mortgage bonds (secured by $2,200,000 of property and equipment, at market value). The bonds paid interest at a rate of 8% per year and had a term of 6 years. Interest was payable each 9/30, and...
Tuesday, September 15, 2009 at 1:16pm by Bob

Accounting
Prepare the entry to record the accrued interest and the amortization of premium on December 31, 2010 using the straight-line method. INFO: Sharapove Co common stock, $100 par 200 shares     $37,400 U.S. government bonds, 11%, due 4/1/2020, interest payable 4/1 &...
Sunday, October 16, 2011 at 5:51pm by Ashley

Finance
XYZ bonds have a 7.60 percent coupon and pay interest annually. The face value is $1,000 and the current market price is $1,062.50 per bond. The bond matures in 16 years. What is the yield to maturity?
Wednesday, March 2, 2011 at 6:19pm by Janiyah

algebra
Andrew has a four-year college loan for $20,000. The lender charges a simple interest rate of 5 percent. How much interest will he have to pay? simple interest = P × r × t
Monday, March 4, 2013 at 3:51pm by Anonymous

Engineering economy
General Electric issued 1000 debenture bonds 3 years ago with a face value of $5000 each and a bond interest rate of 8% per year payable semiannually. The bonds have a maturity date of 20 years from the date they were issued. If the interest rate in the market place is 10% per...
Wednesday, October 1, 2008 at 1:43am by Maria

Math
How much money must be deposited now at 6% interest compounded semi-annually, to yelid an annuity payment of $4,000 at the beginning of each six-month peroid for a total of five years I need to then round my answer to the nearest cent The present value of an annuity that ...
Wednesday, November 14, 2007 at 6:25pm by tchrwill

ACCOUNTING
if a company issued $32,000,000 of 10-year, 12% bonds at an effective interest rate of 13%, receiving cash of $30,237,139 and interest on the bonds is paid semiannually how do you calculate the first semiannual interest payment and the amortization of the bond discount?
Monday, April 26, 2010 at 7:41am by BOB

Math
Here is the question on compound interest. It is not graded, but is bugging me because I can't figure it out. After the third year, $2662 was in Samantha's account. If the account continues to earn 10% interest, how much money will be in the account (1)after the tenth ...
Wednesday, December 19, 2007 at 11:29am by tchrwill

Math
An inheritance of $40,000 is invested in two municipal bonds which pay 6% and 7% simple annual interest. If the annual interest from both bonds is $2,550 how much is invested at each rate?
Thursday, September 23, 2010 at 8:10am by Bailey

accounting
The market interest rate for Christian Charities is 8% on January 1, 2008. On that day, Christian Charities issued the following bonds. A. $500,000 7-year 7% bond B. $300,000 10-year 9% bond For both bonds, interest is paid semiannually on June 30 and December 31 each year up ...
Monday, April 23, 2012 at 5:40pm by kayla

Capital Markets
You work for an underwriter. The underwriter asks you to ¡§strip¡¨ a portfolio of treasury bond. The treasury bonds in question are all identical, they have 5 years to maturity, pay an annual coupon of 7.25% per year, payable annually, and they are ...
Wednesday, February 28, 2007 at 10:12pm by joe

accounting
On April 1, 2008, Company issued $600,000, 9% bonds for $645, 442 including accrued interest. Interest is payable annually on January 1, and the bonds mature on January 1, 2018. So the way I started the entry was: April 1, 2008 DR Cash 645,442 CR Interest Payable (600,000 *.09...
Friday, October 3, 2008 at 7:09pm by Dani

macro ec
does anyone know how rising inflation rates would effect the price of bonds? Take a shot, and think it through. Hint: bonds typically have a fixed face value (e.g., $1000) and a fixed interest payment schedule (e.g., 6% of the face value per year), and a fixed maturity date (e...
Friday, March 2, 2007 at 1:26am by Jennifer

math115
Ms. Jefferson has been given a loan of $20,000 for 1 year. If the interest charged is $800, what is the interest rate on the loan?4% 2.A saleswoman is working on a 6% commission basis. If she wants to make $2,400 in one month, how much must she sell?$40,000 3.If $7,800 is ...
Saturday, October 3, 2009 at 1:38pm by callie

accounting
Howell Corporation purchased $350,000 of its bonds on June 30, 2010, at 102 and immediately retired them The carrying value of the bonds on the retirement date was $339,500. The bonds pay semiannual interest and the interest payment due on June 30, 2010, has been made and ...
Sunday, December 5, 2010 at 6:13pm by Mayumi

accounting
Ignoring income taxes compute the amount of loss, if any, to be recognized by Banno as a result of retiring the $900,000 of bonds in 2007 and prepare the journal entry to record the retirement. On January 2, 2002, Banno Corporation issued $1,500,000 of 10% bonds at 97 due ...
Tuesday, September 23, 2008 at 11:24am by laxer22

Finance
When Samuel Pepys, the British diarist, lent his friend Lady Sandwich £100 in 1668, he charged her 6 percent interest. If the loan was due at the end of 1 year, how much would Lady Sandwich have had to pay if interest was (a) compounded annually, (b) compounded ...
Monday, January 10, 2011 at 9:06pm by Bryan

Business Maths
How do i calculate this problem and enter it in a journal entry: If a company issues 10-year, 8%, $100,000 bonds paying interest on an annual basis, at a $5,200 premium, the annual interest expense on the bonds will be:
Friday, January 1, 2010 at 3:57pm by Peaches

Business Maths
Please how do i calculate this problem and enter it in a journal entry: If a company issues 10-year, 8%, $100,000 bonds paying interest on an annual basis, at a $5,200 premium, the annual interest expense on the bonds will be:
Friday, January 8, 2010 at 5:38pm by Peaches

math
If a company issues bonds with a face value of $1000, a coupon rate of 7%, and that will mature in 10 years. The current market yield is 10%. if the bonds pay interest semiannually, what is the value of the bonds? please he;p with the formula?
Saturday, March 30, 2013 at 9:40pm by tom

accounting
a company issues 7% 10 year bonds with a par value of $150,000 and semi annual payments. On the side date the annual market rate for these bonds are 8%, which implies a selling price of 93 1/4 the straight line is used to allocate interest expense what is the total amount of ...
Tuesday, September 13, 2011 at 11:22am by jamaal

maths
Supposing that Rs is rupees, CI is compound interest over two years, SI is simple interest in two years, and p.a. means per annum, 1 rupee interest was earned on the first year's interest, during the second year. Let S be the original invested sum and r be the annual rate...
Tuesday, December 18, 2012 at 6:17am by drwls

Compound Interest
A bank offers a rate of 5.3% compounded semi-annually on its four year GICs(Guaranteed Investment Certificates). What monthly and annually compounded rates should it quote in order to have the same effective interest rate at all three nominal rates?
Friday, July 24, 2009 at 1:25am by Math

accounting
On March 1, 2008, five-year bonds are sold for $254,013 that have a face value of $250,000 and an interest rate of 10%. Interest is paid semi-annually on March 1 and September 1. Using the straight-line amortization method, prepare the borrower's journal entries on March 1...
Sunday, December 7, 2008 at 1:47pm by Simone

Finance - Required Return from a Beta
My bonds have a 12% coupon rate. Interest is paid semi-annually. The bonds have a par vaule of $1000 and will mature 8 years from now. Compute the vaule of the bonds if the required rate of return is 8%?
Tuesday, October 4, 2011 at 2:55pm by carol

compounded interest
A bank offers a rate of 5.3% compounded semi-annually on its four year GICs(Guaranteed Investment Certificates). What monthly and annually compounded rates should it quote in order to have the same effective interest rate at all three nominal rates?
Thursday, July 30, 2009 at 5:33pm by Thara

Accounting
The corporations must pay the interest promised and pay the investors the full value of the bonds when they come due.
Wednesday, December 5, 2007 at 9:39pm by Ms. Sue

Math
Your Aunt will give your $1,ooo if you invest it for 10 years in an account that pays 20% interest compounded annually. That is, at the end end of each year your interest will be added to your account and invested at 20%. What will your account be worth at the end of 10 years...
Wednesday, August 30, 2006 at 2:36pm by Natalie

Math
Bonds pay interest semiannually and interest is not compounded. "Traditional" accounts, like bank savings accounts, pay interest monthly (usually) and add it to the principal. 1. The "traditional account", will have 5000 - X invested in it, initially, if ...
Tuesday, May 11, 2010 at 10:26pm by drwls

Finance
Thompson Enterprises has $5,000,000 of bonds outstanding. Each bond has a maturity value of $1,000, an annual coupon of 12.0%, and 15 years left to maturity. The bonds can be called at any time with a premium of $50 per bond. If the bonds are called, the company must pay ...
Thursday, October 20, 2011 at 8:25pm by k

Math
you deposit $1000 at 3% per year.what is the balance at the end of one year,and what is the annual yield,if the interest.Please help solve the problem. Simple interest? Compounded annually? Compounded quarterly Compounded daily
Thursday, April 14, 2011 at 2:16pm by Mike

Math
you deposit $1000 at 3% per year.what is the balance at the end of one year,and what is the annual yield,if the interest.Please help solve the problem. Simple interest? Compounded annually? Compounded quarterly Compounded daily
Thursday, April 14, 2011 at 10:45am by Mike

accounting 2
Stower's Research issues bonds dated Jan.1,2005 that pay interest semiannually on June 30and Dec.31. The bonds have a $20,000 par value, an annual contract rate of 10% and mature in 10 years. For each of the following, determine the bonds price on Jan. 1, 2005 and prepare ...
Saturday, May 17, 2008 at 10:27am by kelly

PreCalc
Which investment option will pay the most interest? A. 12.6% compounded annually B. 12.4% compounded semiannually C. 12.2% compounded quarterly D. 12.0% compounded continuously E. These investments all pay the same amount of interest.
Monday, October 4, 2010 at 10:51pm by BJ

accounting
Corporation is considering issuing bonds on January 1, 2009, and has asked your advice concerning several matters. The firm plans to issue $800,000 of 30-year, 10 percent bonds. Bond interest payments are on January 1 and July 1. IfthebondsareissuedonJanuary1,2009,...
Tuesday, October 19, 2010 at 11:59pm by marathoner

accounting
Corporation is considering issuing bonds on January 1, 2009, and has asked your advice concerning several matters. The firm plans to issue $800,000 of 30-year, 10 percent bonds. Bond interest payments are on January 1 and July 1. IfthebondsareissuedonJanuary1,2009,...
Tuesday, October 19, 2010 at 11:58pm by marathoner

College Finance
1.A recent edition of The Wall Street Journal reported interest rates of 10.75 percent, 11.10 percent, 11.48 percent, and 11.75 percent for 3-, 4-, 5-, and 6-year Treasury security yields, respectively. According to the unbiased expectation theory of the term structure of ...
Tuesday, February 19, 2013 at 11:51pm by Jona

time value
For the last 19 years, Mary has been depositing $500 in her savings account , which has earned 5% per year, compounded annually and is expected to continue paying that amount. Mary will make one more $500 deposit one year from today. If Mary closes the account right after she ...
Monday, November 26, 2012 at 10:06pm by rhonda Porter

finance (structure of interest rates)
In most environments the interest rate on bonds is high for long term bonds and lower for short term bonds. This is because in theory people are more nervous about lending money for longer periods of time because "anything might happen" in thirty years but if I loan ...
Friday, July 25, 2008 at 11:10am by Damon

Help meee
Answer from spreadsheet Answer from hand calculation Problem #1: Find the total amount if you deposit $500 at a rate of 5% for two years using simple interest. Year 1 Year 2 Problem #2: Find the total amount if you deposit $300 at a rate of 6% for three years using simple ...
Wednesday, April 17, 2013 at 3:58pm by Katie

accounting
On July 1, 2010, Brower Industries Inc. Issued $32,000,000 of 10-year, 12% bonds at an effective interest rate of 13%, receiving cash of $30,237, 139. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year...
Sunday, January 10, 2010 at 9:30pm by missy

accounting
I need help, do not want the answer just stuck on how to solve this one. Here is the problem Elkins Company sold $2,500,000, 8%, 10-year bonds on July 1, 2011. The bonds were dated July 1, 2011, and pay interest July 1 and January 1. Elkins Company uses the straight-line ...
Sunday, February 10, 2013 at 5:59pm by newbie2school

Economics
If 10-year T-bonds have a yield of 5.2%, 10-year corporate bonds yield 7.5%, the maturity risk premium on all 10-year bonds is 1.1%, and corporate bonds have a 0.2% liquidity premium versus a zero liquidity premium for T-bonds, what is the default risk premium on the corporate...
Saturday, August 15, 2009 at 9:28am by Anonymous

Accounting
The Dec. 31, 2001, balance sheet includes the following items: 9% bonds payable due 12/31/2010 $800,000 Discount on bonds payable $21,600 The bonds were issued on December 31, 2000, at 97, with interest payable on June 30 and December 31 of each year. The straight-line method ...
Friday, February 13, 2009 at 11:25am by Cindy

Pre-Calculus
What is the present value of a $1000 bond which pays $50 a year for 10 years, starting one year from now? Assume interest rate is 6% per year, compounded annually
Friday, December 10, 2010 at 6:05am by Stacy

Economics
Precisely my point. There are two main methods to calculate interest 1. simple interest method - used for short periods of time, usually less than a year 2. compound interest - used in today's financial calculations you used the simple interest method. the interest in the ...
Friday, March 15, 2013 at 11:04am by Reiny

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