A 10-year Treasury note as a face value of $1,000, price of $1,200, and a 7.5% coupon rate. Based on this information, we know the:
A. coupon payment on this bond is equal to $90.
B. current yield is equal to 8.33%.
C. present value is greater than its price.
D. coupon payment on this bond is equal to $75.
Answer: D
You might also like to view...
Refer to Figure 2-2. If Mendonca chooses to produce 160 pounds of vegetables, how much meat can it produce to maximize production?
A) 0 pounds of meat B) 30 pounds of meat C) 60 pounds of meat D) 120 pounds of meat
As of 2007, the United States is the world's largest importer
Indicate whether the statement is true or false
The largest component of government spending is for interest on the national debt
Indicate whether the statement is true or false
In recent years the Federal Open Market Committee has focused on a target for
a. M1 growth. b. the federal funds rate. c. the number of Treasury Securities issued by the federal government. d. total reserves of banks.