Assume that an investor wishes to purchase a 20-year bond with a maturity value of $1,000 and semiannual interest payments of $40. If the investor requires a 10 percent simple yield to maturity on this investment, what is the maximum price she should be willing to pay for the bond?
A. $830
B. $674
C. $761
D. $828
E. $902
Answer: D
You might also like to view...
Which president led the antitrust reform movement?
A. Theodore Roosevelt B. Woodrow Wilson C. Harry Truman D. Franklin Roosevelt
On January 1, Eastern College received $1,380,000 from its students for the spring semester that it recorded in Unearned Tuition and Fees. The term spans four months beginning on January 2 and the college spreads the revenue evenly over the months of the term. Assuming the college prepares adjustments monthly, what amount of tuition revenue should the college recognize on February 28?
A. $1,035,000. B. $980,000. C. $345,000. D. $1,380,000. E. $690,000.
The consistency convention requires that
a. a company use the same independent auditors year after year. b. all companies operating in the same industry use the same accounting methods. c. the selection of a company's accounting policies be disclosed in its financial statements. d. a company use the same accounting procedures year after year.
A vision provides a ______ for the future. It describes where the organization is headed.
A. focus point B. formal plan C. specific plan D. mission