Author Question: What is the approximate yield to maturity for a 1,000 par value bond selling for 1,120 that matures ... (Read 87 times)

ishan

  • Hero Member
  • *****
  • Posts: 546
What is the approximate yield to maturity for a 1,000 par value bond selling for 1,120 that matures in 6 years and pays 12 percent interest annually?
 
  A) 8.5 percent
  B) 9.3 percent
  C) 12.0 percent
  D) 13.2 percent

Question 2

Tangshan Mining Company, with a cost of capital of 10 percent, is considering investing in project A, with an initial investment of 1,000,000. Project A is expected to provide equal cash inflows over its 15 year useful life.
 
  Based on this information, the breakeven cash inflow for the project is ________.
  A) 1,000,000
  B) 131,474
  C) 100,000
  D) 66,667



kalskdjl1212

  • Sr. Member
  • ****
  • Posts: 353
Answer to Question 1

B

Answer to Question 2

B



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Barbituric acid, the base material of barbiturates, was first synthesized in 1863 by Adolph von Bayer. His company later went on to synthesize aspirin for the first time, and Bayer aspirin is still a popular brand today.

Did you know?

Adults are resistant to the bacterium that causes Botulism. These bacteria thrive in honey – therefore, honey should never be given to infants since their immune systems are not yet resistant.

Did you know?

Cancer has been around as long as humankind, but only in the second half of the twentieth century did the number of cancer cases explode.

Did you know?

Liver spots have nothing whatsoever to do with the liver. They are a type of freckles commonly seen in older adults who have been out in the sun without sufficient sunscreen.

Did you know?

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

For a complete list of videos, visit our video library