« previous next »

Author Question: Beta is the slope of the security market line. Indicate whether the statement is true or ... (Read 49 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?

Russia has the highest death rate from cardiovascular disease followed by the Ukraine, Romania, Hungary, and Poland.

Did you know?

More than 34,000 trademarked medication names and more than 10,000 generic medication names are in use in the United States.

Did you know?

More than 4.4billion prescriptions were dispensed within the United States in 2016.

Did you know?

Interferon was scarce and expensive until 1980, when the interferon gene was inserted into bacteria using recombinant DNA technology, allowing for mass cultivation and purification from bacterial cultures.

Did you know?

For about 100 years, scientists thought that peptic ulcers were caused by stress, spicy food, and alcohol. Later, researchers added stomach acid to the list of causes and began treating ulcers with antacids. Now it is known that peptic ulcers are predominantly caused by Helicobacter pylori, a spiral-shaped bacterium that normally exist in the stomach.

True Friendship True Friendship
Examples of Ways That Different Types of Intersections of Two Line Segments Can Be Transformed into Examples of Ways That Different Types of Intersections of Two Line Segments Can Be Transformed into
All of the homes in this new neighborhood of Brentwood, California, are for sale, evidence of the co All of the homes in this new neighborhood of Brentwood, California, are for sale, evidence of the co
Example of an Explanation of Benefits statement. Example of an Explanation of Benefits statement.
What nuclide is produced when K-43 decays by beta emission? What nuclide is produced when K-43 decays by beta emission?
Annotation of a DNA sequence containing part of the human beta-globin gene Annotation of a DNA sequence containing part of the human beta-globin gene
Video: Component of feedback systems & Communication and regulation of body systems

For a complete list of videos, visit our video library