« previous next »

Author Question: Beta is the slope of the security market line. Indicate whether the statement is true or ... (Read 117 times)

EAugust

  • Hero Member
  • *****
  • Posts: 550
on: Jul 10, 2018
Beta is the slope of the security market line.
 
  Indicate whether the statement is true or false

Question 2

Vitmix Industries Inc. is issuing a zero-coupon bond that will have a maturity of fifty years. The bond's par value is 1,000, and the current yield on similar bonds is 7.5. What is the expected price of this bond, using the semiannual convention?
 
  A) 25.19
  B) 250.19
  C) 750.00
  D) 1,000.00


jessicaduplan

  • Sr. Member
  • ****
  • Posts: 337
Reply #1 on: Jul 10, 2018
Answer to Question 1

FALSE

Answer to Question 2

Answer: A
Explanation: A)
Zero coupon bond price = = = 25.19
MODE = END, P/Y = 2, C/Y = 2
INPUT 100 7.5 ? 0 -1,000
KEY N I/Y PV PMT FV
CPT 25.19


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

EAugust

  • Hero Member
  • *****
  • Posts: 550
Reply #2 on: Jul 10, 2018
Thank you :)


jessicaduplan

  • Sr. Member
  • ****
  • Posts: 337
Reply #3 on: Jul 10, 2018
Happy to help you


« previous next »
 

Did you know?

Complications of influenza include: bacterial pneumonia, ear and sinus infections, dehydration, and worsening of chronic conditions such as asthma, congestive heart failure, or diabetes.

Did you know?

The most dangerous mercury compound, dimethyl mercury, is so toxic that even a few microliters spilled on the skin can cause death. Mercury has been shown to accumulate in higher amounts in the following types of fish than other types: swordfish, shark, mackerel, tilefish, crab, and tuna.

Did you know?

In 1864, the first barbiturate (barbituric acid) was synthesized.

Did you know?

For pediatric patients, intravenous fluids are the most commonly cited products involved in medication errors that are reported to the USP.

Did you know?

There are more sensory neurons in the tongue than in any other part of the body.

The effects of germ-line versus somatic cell mutations. The effects of germ-line versus somatic cell mutations.
How to find the midpoint of a line segment How to find the midpoint of a line segment
Israeli Security Barrier Israeli Security Barrier
How to find the equation of a line that is parallel to a line passing through a point How to find the equation of a line that is parallel to a line passing through a point
How to find the equation of a line passing through two points How to find the equation of a line passing through two points
Finding the equation of a line Finding the equation of a line
Video: Major Elements in Biological Molecules: Proteins

For a complete list of videos, visit our video library