1. Assume you just paid 1,279 for a convertible bond that carries a 8.15?% coupon and has 15 years to maturity. The bond can be converted into 24 shares of? stock, which are now trading at? $50 a share. Find the bond investment value of this? issue, given that comparable nonconvertible bonds are currently selling to yield 12.07?%.
The bond investment value of this issue is ?$_____
2. You've uncovered the following? per-share information about a certain mutual? fund:
|
2012 |
2013 |
2014 |
| Ending share prices: |
|
|
|
| Offer |
43.84 |
62.14 |
58.59 |
| NAV |
42.09 |
59.65 |
56.59 |
| Dividend Income |
2.53 |
2.73 |
2.12 |
| Capital Gains distribution |
1.75 |
6.26 |
4.12 |
| Beginning Share Prices |
|
|
|
| Offer |
53.25 |
43.84 |
62.14 |
| NAV |
51.12 |
42.09 |
59.65
|
3. Three years? ago, you invested in the Future Investco Mutual Fund by purchasing 600 shares at the net asset value of $ 20.29 per share. Because you did not need the? income, you elected to reinvest all dividends and capital gains distributions. ? Today, you sell your 650 shares in this fund for ?$22.35 per share. What is the compounded rate of return on this investment over the? three-year period?
The compounded rate of return on this investment over the? three-year period is ___%
4. You invested in the? no-load OhYes Mutual Fund one year ago by purchasing 600 shares of the fund at the net asset value of ?$25.44 per share. The fund distributed dividends of ?$2.78 and capital gains of ?$1.54? Today, the NAV is ?$27.10
What was your holding period? return?
Your holding period return was _____?%