ressor Kostovetsky purchases a 10-year 4%-coupon Treasury bond for its current market price of $937.23 and then holds it until maturity. What is his Net Present Value (NPV) from this investment? A. $0 B. $62.77 C. $462.77 D. $4062.77

An investor with a bond of par value $1,000 paying 5% coupon semi-annually will receive ________. a. $100 annually b. $25 semi-annually c. $25 annually d. None of the above.

Sally purchased a 5.73 percent coupon bond with a clean price of $1,031.83. What is the invoice price of the bond if there is four months to the next semiannual coupon date? A $1,012.73 B $1,022.28 C$1,041.38 D) $1,050.93 (E $1,089.13

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Alex purchased a 10-year, zero-coupon bond today with a yield to maturity of 7.5% and face value of $1,000. One year later, if the yield to maturity decreases to 6%, what will the price of the bond be 1 year later? Group of answer choices A. $591.90 D. $1,060.00 E. $943.40 C. $485.19 B. $558.39

Vic Zaloom bought a corporate bond from IBEM Corporation for $100,000. The face value of the bond is $100,000 and will mature in twenty years. A $2,500 dividend is expected to be paid every quarter. If Vic plans to keep the bond until maturity, determine the effective rate of return he is getting on this investment. A. 10.38% B. 10.00% C. 12% D. 9.15%

Assume an investor buys a newly issued 8 percent, semiannual 10 year bond at par. He sells it two years later when market interest rates have decreased to 6 percent. How much is the investor’s capital gain or loss? $147.20 gain $70.20 gain $125.61 gain $124.20 loss