Realised yield: Josh Kavern bought 10-year, 10.76 percent coupon bonds issued by the Australian Government three...

Realised yield: Josh Kavern bought 10-year, 10.76 percent coupon bonds issued by the Australian Government three years ago at $913.44. If he sells these bonds, which have a face value of $1,000, at the current price of $809.05, the realised yield on the bond is ________________% (Assume annual coupons on similar coupon-paying bonds).

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Edward Lewis bought 10-year, 11.8 percent coupon bonds issued by the U.S. Treasury three years ago...

Edward Lewis bought 10-year, 11.8 percent coupon bonds issued by the U.S. Treasury three years ago at $915.06. If he sells these bonds, for which he paid the face value of $1,000, at the current price of $811.17, what is his realized yield on the bonds? Assume similar coupon-paying bonds make annual coupon payments. (Round intermediate calculations to 5 decimal places, e.g. 1.25145 and final answer to 2 decimal places, e.g. 15.25%.) Realised rate of return

A 10-year zero coupon bonds was issued with a yield to maturity of 5% You are...

A 10-year zero coupon bonds was issued with a yield to maturity of 5% You are an investor with a one-year holding period with an ordinary income tax of 40% and capital gain tax of 20%. Assume in one year the interest rate remains the same. Determine: The current price of the bond The price of the bond at the end of the year The after tax holding period return

4.XYZ Corporation issued 10-year bonds a year ago at a coupon rate of 10 percent. The...

4.XYZ Corporation issued 10-year bonds a year ago at a coupon rate of 10 percent. The bonds make semiannual payments. If the YTM on these bonds is 7 percent, what is the current bond price?

Weismann Co. issued 9-year bonds a year ago at a coupon rate of 10 percent. The...

Weismann Co. issued 9-year bonds a year ago at a coupon rate of 10 percent. The bonds make semiannual payments and have a par value of $1,000. If the YTM on these bonds is 7 percent, what is the current bond price? Multiple Choice $714.05 $1,427.29 $1,181.41 $1,119.12 $1,191.41

Janes pizzeria issued 10-year bonds one year ago at a coupon rate of 8.75 percent. If...

Janes pizzeria issued 10-year bonds one year ago at a coupon rate of 8.75 percent. If the YTM on these bonds is 7.25 percent, what is the current bond price?

Toys Co. issued 10-year bonds a year ago at a coupon rate of 10%. The bonds...

Toys Co. issued 10-year bonds a year ago at a coupon rate of 10%. The bonds make semiannual payments and have a par value of $1,000. If the YTM on these bonds is 9%, what is the current bond price?

Company issued 10-year, 11 percent coupon bond with a par value of $1,000. The bonds may...

Company issued 10-year, 11 percent coupon bond with a par value of $1,000. The bonds may be called in 5 years at a call price of $1,150. The bond currently sells for $1,350. You are required to answer the following questions: a) What is the bond's yield to maturity? b) What is the bond's current yield? c) What is the bond's capital gain or loss yield? d) What is the bond's yield to call? e) If you bought this bond...

Heginbotham Corp. issued 10-year bonds two years ago at a coupon rate of 9 percent. The...

Heginbotham Corp. issued 10-year bonds two years ago at a coupon rate of 9 percent. The bonds make semiannual payments. If these bonds currently sell for 102 percent of par value, what is the YTM? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. YMT _____% Grohl Co. issued 8-year bonds a year ago at a coupon rate of 11 percent. The bonds make semiannual payments. If the YTM on these...

A 10-year bond has a 10 percent annual coupon and a yield to maturity of...

A 10-year bond has a 10 percent annual coupon and a yield to maturity of 12 percent. The bond can be called in 5 years at a call price of $1,050 and the bond’s face value is $1,000. Which of the following statements is most correct? Please explain why. a. The bond’s current yield is greater than 10 percent. b. The bond’s yield to call is less than 12 percent. c. The bond is selling at...

Three years ago, PurpX issued 10,000 bonds with the following specifications: 10-year bond with 10% coupon...

Three years ago, PurpX issued 10,000 bonds with the following specifications: 10-year bond with 10% coupon rate and $1000 face value. PurpX made its third coupon payment today with 7 more coupon payments as well as the face value left to be paid. The current market rate is 6%. One board member suggests to take advantage of the low rates and purchase back all the bonds to reissue them at 6% coupon rate. How much does PurpX need today to...

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