jennarosebrand9153 jennarosebrand9153

10-11-2020
Business

contestada

Suppose a bond has a $1,000 face value, a market price of $1,045.00, and pays a coupon of $80 annually. What is the bond's coupon rate

Respuesta :

ogorwyne ogorwyne

11-11-2020

Answer:

8%

Explanation:

The Coupon rate can be defined as the rate of interest that is paid by issuers of bond on the face value of the bond. This is the periodic interest rate that is paid by bond issuers to their purchasers.

For this question

The face value of the bond is 1000 dollars

The coupon is 80 dollars

Such that We have

80/1000

= 0.08

This is 8% coupon rate.

Answer Link

Otras preguntas

how long would a line of 1 million centimeter cubes be? give your answer in as many different standard units of measures you can.

how long would a line of 1 million centimeter cubes be? give your answer in as many different standard units of measures you can.

need help in putting this writing out into numbers . Write two billion, three hundred twelve thousand ,eighty-one, and 7 thousandths in standard form

what is the role of water as medium for the metabolic processes of cells

what is 3,756.9 rounded to the nearest hundred

The weight of an object is the product of its mass, m , and the acceleration of gravity, g (where g=9.8 m/s 2 ). If an object’s mass is m=10. kg , what is its

In 1967, a 30-second Super Bowl commercial cost $40,000. In 2000, a 30-second commercial cost $1,800,000. What was the percent of change in the cost of a comm

Jerry is experimenting with chemicals in the laboratory. He mixes a solution that is 10% acid with a solution that is 30% acid. How much of the 10% acid solutio

what should be added to 3.189 to get 7

What's the product of 19 and 6.3