February 25th, 2016
Chapter 5 Homework
5-17- An investor has two bonds in his portfolio. Each bond matures in 4 years, has a face value
of $1,000, and has a yield to maturity equal to 9.6% percent. One bond, bond C pays an annual
February 28, 2016
Chapter 10+11 Homework
10-1- A project has an initial cost of $40,000, expected net cash inflows of $9,000 per year for 7 years, and a cost of capital of 11%.
What is the projects NPV?
BUSGR 493, Financial Principles
February 18, 2016
1. An investor recently purchased a corporate bond that yields 9%. The investor is in the 36%
combined federal and state tax bracket. What is the bonds after-tax yield?