The wine press is considering a project which has an initial cash requirement of $187,400. The project will yield cash flows of $2832 monthly for 84 months. What is the rate of return on this project.

The wine press is considering a project which has an initial cash requirement of $187,400. The project will yield cash flows of $2832 monthly for 84 months. What is the rate of return on this project.

Answer: 7.04

What is the future value of a $1200 a year for 40 years at 8 % interest? Assume annual compounding.

What is the future value of a $1200 a year for 40 years at 8 % interest? Assume annual compounding.

Answer: $310,868

The zero coupon bonds of D&L movers have a market price of $319.24 , a face value of 1000, and a yield to maturity of 8.45 percent. How many years is it until these bonds mature?

The zero coupon bonds of D&L movers have a market price of $319.24 , a face value of 1000, and a yield to maturity of 8.45 percent. How many years is it until these bonds mature?

Answer: 13.8

Greenbrier industrial products' bonds have a 7.6 percent coupon and pay interest annually. The face value is $1000 and the current market price is 1062.50 per bond. The bonds mature in 16 years. What is the yield for maturity ?

Greenbrier industrial products' bonds have a 7.6 percent coupon and pay interest annually. The face value is $1000 and the current market price is 1062.50 per bond. The bonds mature in 16 years. What is the yield for maturity ?

Answer: 6.94

Bonds issued by the US government

Bonds issued by the US government

Answer: Free of default risk

The walthers company has a semi annual coupon bond outstanding. An increase in the market rate of interest will have which one of the following effects on this bond

The walthers company has a semi annual coupon bond outstanding. An increase in the market rate of interest will have which one of the following effects on this bond

Answer: Decrease in market price

The difference between the price the dealer is willing to pay and the price at which he or she will sell is called the

The difference between the price the dealer is willing to pay and the price at which he or she will sell is called the

Answer: Spread

A 1,000 face value bond can be redeemed early at the issuer's discretion for $1030 plus any accrued interest. The additional 30 is called which one of the following?

A 1,000 face value bond can be redeemed early at the issuer's discretion for $1030 plus any accrued interest. The additional 30 is called which one of the following?

Answer: Call premium

The specified date on which principal amount of a bond is payable is referred to as which of the following?

The specified date on which principal amount of a bond is payable is referred to as which of the following?

Answer: Maturity

The next dividend payment by Hillside markets will be 2.35 a share. The dividends are anticipated to maintain a 4.5% growth rate forever. The stock currently sells for $65 per share. What is the dividend yield.

The next dividend payment by Hillside markets will be 2.35 a share. The dividends are anticipated to maintain a 4.5% growth rate forever. The stock currently sells for $65 per share. What is the dividend yield.

Answer: $3.62

Marie owns shares of Deltona Productions preffered stock which she says provides her with a constant 14.3 % rate of return. The stock is currently priced at $45.45 a share. What is the amount o the dividend per share?

Marie owns shares of Deltona Productions preffered stock which she says provides her with a constant 14.3 % rate of return. The stock is currently priced at $45.45 a share. What is the amount o the dividend per share?

Answer: 6.50 (i. $6.50=45.45*0.143 )

J&J foods wants to issue some 7 percent preferred stock that has a stated liquidating value of 100 a share. The company has determined that the stocks with similar characteristics provide a 12.8% rate of return. What should the offer price be?

J&J foods wants to issue some 7 percent preferred stock that has a stated liquidating value of 100 a share. The company has determined that the stocks with similar characteristics provide a 12.8% rate of return. What should the offer price be?

Answer: 54.69 (Approx)

You cannot attend a shareholders meeting for alpha united so you authorize another shareholder to vote on your behalf. What is the granting of the authority called?

You cannot attend a shareholders meeting for alpha united so you authorize another shareholder to vote on your behalf. What is the granting of the authority called?

Answer: Voting by proxy

Which one of the following types of stock is defined by the fact that it receives no preferential treatment in respect of either dividends or bankruptcy proceeding's

Which one of the following types of stock is defined by the fact that it receives no preferential treatment in respect of either dividends or bankruptcy proceeding's

Answer: Common stock

Which of the following is computed by dividing next years annual dividend by the current stock price

Which of the following is computed by dividing next years annual dividend by the current stock price

Answer: Dividend yield