Assume that you purchase a $4,000 bond issued by Harley-Davidson that pays 6% interest each year,...
Assume that you purchase a $4,000 bond issued by Harley-Davidson that pays 6% interest each year, paid every six months. What is the amount of each interest payment? (Round your answer to 2 decimal places.)
Homework Answers
| Amount of each interest payment |
| Amount of each interest payment = Face Value of the Bond x Annual interest rate x 1/2 |
| Amount of each interest payment = $4,000 x 6.00% x 1/2 |
| Amount of each interest payment = $120 |
| The amount of each interest payment will be $120 |
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β (beta)
1.62
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30.0
16.5
Assume the standard deviation of the return on the market was
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a. The correlation coefficient of Ford’s return
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portfolio invested half in each share?
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