Financial Management

posted by .

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?

Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. 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 …
  2. Finance

    XYZ Corp. made a coupon payment on their 6.25% bonds yesterday that mature in 11.5 years. What is the market price of these bonds if the required return is 9.2% APR?
  3. 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 …
  4. 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 …
  5. 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?
  6. accounting

    On December 31, 2009, $150,000 of 14% bonds were issued. The market interest rate at the time of issuance was 15%. The bonds pay interest on June 30 and December 31 and mature in 8 years. Compute the selling price of a single $1,000 …
  7. 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?
  8. 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 …

    Polycorp Treasury a company in the land of Zanadu is holding a parcel of Zanadu Government Bonds with a face value of $2,000,000. The bonds were issued seven years and nine months ago and still have two years and three months to maturity. …
  10. Finance

    As an investor, you are considering an investment in the bonds of the Conifer Coal Company. The bonds, which pay interest semiannually, will mature in 8 years, have a coupon rate of 9.5% on a face value of $1,000. Currently, the bonds …

More Similar Questions