Questions from General Investment

Q: Using semiannual compounding, find the prices of the following bonds.

Using semiannual compounding, find the prices of the following bonds. a. A 10.5%, 15-year bond priced to yield 8% b. A 7%, 10-year bond priced to yield 8% c. A 12%, 20-year bond priced at 10% Repeat t...

Q: A $1,000 par value bond has a current price

A $1,000 par value bond has a current price of $800 and a maturity value of $1,000 and matures in five years. If interest is paid semiannually and the bond is priced to yield 8%, what is the bond’s an...

Q: A year ago, an investor bought 200 shares of a mutual

A year ago, an investor bought 200 shares of a mutual fund at $8.50 per share. Over the past year, the fund has paid dividends of $0.90 per share and had a capital gains distribution of $0.75 per shar...

Q: Explain why it is difficult, if not impossible, to consistently

Explain why it is difficult, if not impossible, to consistently outperform an efficient market. a. Does this mean that high rates of return are not available in the stock market? b. How can an investo...

Q: A year ago, the Really Big Growth Fund was being quoted

A year ago, the Really Big Growth Fund was being quoted at an NAV of $21.50 and an offer price of $23.35. Today, it’s being quoted at $23.04 (NAV) and $25.04 (offer). What is the holding period return...

Q: The All-State Mutual Fund has the following five-year

The All-State Mutual Fund has the following five-year record of performance: Find this no-load fund’s five-year (2012–2016) average annual compound rate of return...

Q: What protection does the Securities Investor Protection Corporation (SIPC) provide

What protection does the Securities Investor Protection Corporation (SIPC) provide for securities investors? How are mediation and arbitration procedures used to settle disputes between investors and...

Q: Sara Thomas is a child psychologist who has built a thriving practice

Sara Thomas is a child psychologist who has built a thriving practice in her hometown of Boise, Idaho. Over the past several years she has been able to accumulate a substantial sum of money. She has w...

Q: You’ve uncovered the following per-share information about a certain mutual

You’ve uncovered the following per-share information about a certain mutual fund: On the basis of this information, find the fund’s holding period return for 2014...

Q: Listed below is the 10-year, per-share performance

Listed below is the 10-year, per-share performance record of Larry, Moe, & Curley’s Growth Fund, as obtained from the fund’s May 30, 2016, prospectus. Use thi...